European Cruise Council Conference Update on the Revision of the Package Travel Directive 14 September 2010 Jens Thommesen Unit A3 – Consumer and Marketing Law DG Justice, European Commission A3 –Consumer and marketing law Directorate-General Justice

The review of the PTD 2007 – First consultation on the review of the Directive Jan –Oct 2009 –"Study on Consumer Detriment in the area of Dynamic Packages" (more than 1 billion annually) August Launch of the Impact Assessment Study 26 Nov Feb 2010 – Second round of public consultation 22 April 2010– Stakeholder conference DG MOVE – Parallel IA on insolvency protection – standalone airline tickets NEXT STEPS: Finalisation of the Impact Assessment Proposal planned first half of 2011 A3 –Consumer and marketing law Directorate-General Justice

Public consultation Clear support for updating the Directive and also to clearly cover dynamic packages : both expedia-type and Click-through packages; For summary, see EC web pages A3 –Consumer and marketing law Directorate-General Justice

Is the cruise industry covered? Definition of a 'package: the pre-arranged combination of not fewer than two of the following when sold or offered for sale at an inclusive price and when the service covers a period of more than twenty-four hours or includes overnight accommodation: (a) transport; (b) accommodation; (c)other tourist services not ancillary to transport or accommodation and accounting for a significant proportion of the package. A3 –Consumer and marketing law Directorate-General Justice

Sources: Results of the public consultation, 2010 Scope of the PTD – cruises Strong support of all stakeholders for clearly including cruises under the scope of the PTD. Only consumer organisations in support of including transportation which includes accommodation under the scope of the PTD. Scope of the PTD – transportation which includes accommodation (e.g. overnight boat/train trips in a cabin) A3 –Consumer and marketing law Directorate-General Justice

Policy Objectives Overall objective: to contribute to the better functioning of the Internal Market and achieve a high level of consumer protection General objective 1 Improve the functioning of the Internal Market Related specific objectives eliminate regulatory fragmentation and obstacles to cross-border trade; reduce administrative costs for businesses; ensure a level playing field. General objective 2 Achieve a high level of consumer protection Related specific objectives Widen consumer protection and reduce consumer detriment by addressing new market developments; ensure that consumers are aware of their rights when purchasing package holidays and that they are provided with the relevant information. A3 –Consumer and marketing law Directorate-General Justice

Policy Options Non- legislative policy options, e.g. Status Quo Package travel label- add on-option - an obligatory logotype to be presented to consumers when purchasing a package travel; Repeal of the Directive, industry self- regulation; Legislative policy options: Minimum approach –Clarification of the scope and updating definitions, also taking into account ECJ rulings –An update of the information requirements; –Clarification of the obligations of the professional parties Medium approach –minimum approach and extension of the scope of the Directive to cover "dynamic packages" purchased on the internet from different sites which are clearly linked (so-called "click through" packages) Travel Directive- maximum approach and extension of the scope to other standalone travel products i.e. car rental, accommodation and seat-only as requested by some consumer organisations A3 –Consumer and marketing law Directorate-General Justice

Thank you for your attention Jens Thommesen Unit A3 – Consumer and Marketing Law DG Justice, European Commission