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Document E2003C1204(02)
Public service obligations — Communication from the EFTA Surveillance Authority under Article 4.1(a) of the Act referred to in point 64a in Annex XIII of the EEA Agreement (Council Regulation (EEC) No 2408/92 of 23 July 1992 on access for Community air carriers to intra-Community air routes) — Imposition of new public service obligations in respect of scheduled air services on the route areas 1 and 2 (Finnmark and North-Troms)
Obrigações de serviço público — Comunicação do Órgão de Fiscalização da EFTA nos termos do n.° 1, alínea a), do artigo 4.° do Acto referido no ponto 64-A do Anexo XIII do Acordo EEE [Regulamento (CEE) n.° 2408/92 do Conselho, de 23 de Julho de 1992, relativo ao acesso das transportadoras aéreas comunitárias às rotas aéreas intracomunitárias] — Imposição de novas obrigações de serviço público relativamente aos serviços aéreos regulares nas zonas de rotas 1 e 2 (Finnmark e Nord-Troms)
Obrigações de serviço público — Comunicação do Órgão de Fiscalização da EFTA nos termos do n.° 1, alínea a), do artigo 4.° do Acto referido no ponto 64-A do Anexo XIII do Acordo EEE [Regulamento (CEE) n.° 2408/92 do Conselho, de 23 de Julho de 1992, relativo ao acesso das transportadoras aéreas comunitárias às rotas aéreas intracomunitárias] — Imposição de novas obrigações de serviço público relativamente aos serviços aéreos regulares nas zonas de rotas 1 e 2 (Finnmark e Nord-Troms)
JO C 294 de 4.12.2003, p. 18–25
(ES, DA, DE, EL, EN, FR, IT, NL, PT, FI, SV)
Public service obligations — Communication from the EFTA Surveillance Authority under Article 4.1(a) of the Act referred to in point 64a in Annex XIII of the EEA Agreement (Council Regulation (EEC) No 2408/92 of 23 July 1992 on access for Community air carriers to intra-Community air routes) — Imposition of new public service obligations in respect of scheduled air services on the route areas 1 and 2 (Finnmark and North-Troms)
Official Journal C 294 , 04/12/2003 P. 0018 - 0025
Public service obligations Communication from the EFTA Surveillance Authority under Article 4.1(a) of the Act referred to in point 64a in Annex XIII of the EEA Agreement (Council Regulation (EEC) No 2408/92 of 23 July 1992 on access for Community air carriers to intra-Community air routes) Imposition of new public service obligations in respect of scheduled air services on the route areas 1 and 2 (Finnmark and North-Troms) (2003/C 294/09) 1: - ROUTES BETWEEN KIRKENES, VADSØ, BÅTSFJORD, BERLEVÅG, MEHAMN, HONNINGSVÅG, HAMMERFEST AND ALTA - VARDØ-KIRKENES V.V. 1. INTRODUCTION Pursuant to Article 4.1(a) of Council Regulation (EEC) No 2408/92 of 23 July 1992 on access for Community air carriers to intra-Community air routes, Norway has decided to impose public service obligations as of 7 July 2004 on the following scheduled air services: - on a network comprising routes between Kirkenes, Vadsø, Båtsfjord, Berlevåg, Mehamn, Honningsvåg, Hammerfest and Alta - Vardø-Kirkenes v.v. 2. DEFINITION In this publication single-carrier service means that the carrier shall carry passengers along an entire route within the network encompassed by the public service obligations. Maximum travel time on each required single-carrier service is 3 hours 30 minutes from first departure to final arrival. 3. THE PUBLIC SERVICE OBLIGATIONS INCLUDE THE FOLLOWING 3.1. GENERAL If the number of seats occupied to and from either Kirkenes, Alta, Vadsø or Hammerfest during the period 1 January to 30 June or 1 August to 30 November exceeds 70 per cent of the number of seats offered, the carrier shall increase the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication. If the number of seats occupied to and from either Kirkenes, Alta, Vadsø or Hammerfest during the period 1 January to 30 June or 1 August to 30 November is lower than 35 per cent of the number of seats offered, the carrier may reduce the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication. Account shall be taken of the public demand for air travel. All times specified are local. 3.2. REQUIREMENTS AS TO MINIMUM FREQUENCIES, SEATING CAPACITY, ROUTING AND TIMETABLES FOR THE ROUTES BETWEEN KIRKENES, VADSØ, BÅTSFJORD, BERLEVÅG, MEHAMN, HONNINGSVÅG, HAMMERFEST AND ALTA Different requirements apply to some of the service airports, depending on the type of aircraft used for the operations. Option 1: Apply to operations with aircraft registered for minimum 30 passengers and with pressurised cabin. Option 2: Apply to operations with aircraft registered for minimum 15 passengers. 3.2.1. REQUIREMENTS FOR MONDAY TO FRIDAY The requirements apply throughout the year. When connections with air services to and from Tromsø are required, schedules must allow passengers to travel to or from Tromsø with no more than one change of aircraft en route. The following requirements apply as to departures and arrivals, routing and timetables: Alta - On Monday to Friday combined the seating capacity offered shall be at least 550 seats both to and from Alta. - Single-carrier services between other airports and Alta and vice versa, as required in this publication. Hammerfest - A minimum of five daily departures and arrivals. - On Monday to Friday combined the seating capacity offered shall be at least 925 seats both to and from Hammerfest. - Minimum three single-carrier return services to Vadsø. In both directions first arrival shall be no later than 10.30 and last departure no earlier than 18.30. - Single-carrier return service to Kirkenes. - Single-carrier services between other airports and Hammerfest and vice versa, as required in this publication. Kirkenes - On Monday to Friday combined the seating capacity offered shall be at least 725 seats both to and from Kirkenes. - Minimum one daily single-carrier return service to Alta, with a maximum of one intermediate stop. - Single-carrier services between other airports and Kirkenes and vice versa, as required in this publication. Vadsø - A minimum of nine daily departures and arrivals. - On Monday to Friday combined the seating capacity offered shall be at least 1650 seats both to and from Vadsø. - Minimum three single-carrier return services to Kirkenes, without intermediate stops. First arrival in Kirkenes shall be no later than 11.00 and last departure from Kirkenes no earlier than 19.00. First arrival in Vadsø shall be no later than 11.30 and last departure from Vadsø no earlier than 18.30. - Minimum two single-carrier return services to Alta. In both directions first arrival shall be no later than 10.30. Last departure shall be no earlier than 14.00 from Vadsø and no earlier than 15.00 from Alta. - Single-carrier services between other airports and Vadsø and vice versa, as required in this publication. Båtsfjord Option 1 A minimum of four daily departures and arrivals, ensuring the following: - Minimum two single-carrier return services to Kirkenes. First arrival in Kirkenes shall be no later than 11.00 and last departure from Kirkenes no earlier than 19.00. - Minimum two single-carrier return services to Vadsø. First arrival in Vadsø shall be no later than 10.30 and last departure from Vadsø no earlier than 18.30. - Single-carrier return service to Alta. - Single-carrier return service to Hammerfest. - The schedules must ensure connections with at least two air services both to and from Tromsø. or Option 2 A minimum of six daily departures and arrivals, ensuring the following: - Minimum three single-carrier return services to Kirkenes. First arrival in Kirkenes shall be no later than 11.00 and last departure from Kirkenes no earlier than 19.00. - Minimum two single-carrier return services to Vadsø. First arrival in Vadsø shall be no later than 10.30 and last departure from Vadsø no earlier than 18.30. - Single-carrier return service to Alta. - Single-carrier return service to Hammerfest. - The schedules must ensure connections with at least two air services both to and from Tromsø. Berlevåg Option 1 A minimum of three daily departures and arrivals, ensuring the following: - Single-carrier return service to Kirkenes, with arrival in Kirkenes no later than 11.00 and departure from Kirkenes no earlier than 19.00. - Single-carrier return service to Vadsø, with arrival in Vadsø no later than 10.30 and departure from Vadsø no earlier than 18.30. - Single-carrier return service to Alta. - Single-carrier return service to Hammerfest. - The schedules must ensure connections with at least two air services both to and from Tromsø. or Option 2 A minimum of four daily departures and arrivals, ensuring the following: - Minimum two single-carrier return services to Kirkenes. First arrival in Kirkenes shall be no later than 11.00 and last departure from Kirkenes no earlier than 19.00. - Single-carrier return service to Vadsø, with arrival in Vadsø no later than 10.30 and departure from Vadsø no earlier than 18.30. - Single-carrier return service to Alta. - Single-carrier return service to Hammerfest. - The schedules must ensure connections with at least two air services both to and from Tromsø. Mehamn Option 1 A minimum of four daily departures and arrivals, ensuring the following: - Minimum two single-carrier return services to Hammerfest. First arrival in Hammerfest shall be no later than 8.30. In both directions last departure shall be no earlier than 17.00. - Minimum two single-carrier return services to Vadsø. In both directions last departure shall be no earlier than 16.00. - Single-carrier return service to Alta. - Single-carrier return service to Kirkenes. - The schedules must ensure connections with at least two air services both to and from Tromsø. or Option 2 A minimum of six daily departures and arrivals, ensuring the following: - Minimum three single-carrier return services to Hammerfest. First arrival in Hammerfest shall be no later than 8.30. In both directions last departure shall be no earlier than 17.00. - Minimum two single-carrier return services to Vadsø. In both directions last departure shall be no earlier than 16.00. - Single-carrier return service to Alta. - Single-carrier return service to Kirkenes. - The schedules must ensure connections with at least two air services both to and from Tromsø. Honningsvåg Option 1 A minimum of four daily departures and arrivals, ensuring the following: - Minimum two single-carrier return services to Hammerfest. First arrival in Hammerfest shall be no later than 8.30. In both directions last departure shall be no earlier than 17.00. - Minimum two single-carrier return services to Vadsø. In both directions last departure shall be no earlier than 16.00. - Single-carrier return service to Kirkenes. - The schedules must ensure connections with at least two air services both to and from Tromsø. or Option 2 A minimum of six daily departures and arrivals, ensuring the following: - Minimum three single-carrier return services to Hammerfest. First arrival in Hammerfest shall be no later than 8.30. In both directions last departure shall be no earlier than 17.00. - Minimum two single-carrier return services to Vadsø. In both directions last departure shall be no earlier than 16.00. - Single-carrier return service to Kirkenes. - The schedules must ensure connections with at least two air services both to and from Tromsø. 3.2.2. SATURDAY TO SUNDAY The requirements apply throughout the year. The following requirements apply to Saturday and Sunday combined: - The capacity offered shall be at least 110 seats both to and from Alta, at least 185 seats both to and from Hammerfest, at least 145 seats both to and from Kirkenes and at least 330 seats both to and from Vadsø. - Minimum number of departures and arrivals at least as on each day Monday to Friday for Hammerfest, Vadsø, Båtsfjord, Berlevåg, Mehamn and Honningsvåg. - Minimum two single-carrier return services Honningsvåg-Hammerfest. - Single-carrier return service to Vadsø from Båtsfjord, Berlevåg, Mehamn and Honningsvåg. - Single-carrier return service to Hammerfest from Båtsfjord, Berlevåg and Mehamn. - Single-carrier return service Vadsø-Alta. - Single-carrier return service Kirkenes-Alta. - Number of connections with air services to and from Tromsø at least as on each day Monday to Friday for Båtsfjord, Berlevåg, Mehamn and Honningsvåg. The following requirements apply to both Saturday and Sunday: - Departure and arrival at each of the airports Vadsø, Båtsfjord, Berlevåg, Mehamn, Honningsvåg, Hammerfest, Kirkenes and Alta. - Single-carrier return service Vadsø-Hammerfest. - Single-carrier return service Vadsø-Kirkenes. - Connection both to and from Tromsø for Båtsfjord, Berlevåg, Mehamn and Honningsvåg. 3.2.3. AIRCRAFT CATEGORY Aircraft registered for minimum 15 passengers shall be used for the required flights. Carriers' attention is especially drawn to technical and operative conditions applying at the airports, including short runways at Vadsø, Båtsfjord, Berlevåg, Mehamn, Honningsvåg and Hammerfest. For further information, please contact: Luftfartstilsynet (Civil Aviation Authority) PO Box 8050 Dep. N - 0031 Oslo Tel. (47) 23 31 78 00. 3.2.4. FARES - Maximum basic one-way fares (fully flexible) in the operating year beginning 7 July 2004 must not exceed the amounts in NOK stated in the table below. >TABLE> - For each subsequent operating year the maximum fares shall be adjusted on 1 April within the limit of the consumer price index for the 12-month period ending 15 February the same year, as made public by Statistics Norway (http://www.ssb.no/english/ subjects/08/02/10/kpi_en/). - The carrier shall be party to the domestic interline agreements in force at any time, and shall offer all discounts available under such agreements. - Social discounts conforming to the usual practice shall be offered. - The published maximum fares apply when the carrier itself is responsible for carriage on the entire specified route within the network encompassed by the public service obligations and apply to all required single-carrier services, cf. section 3.2.1 and 3.2.2, regardless of routing. - For non-required single-carrier services within the route network encompassed by the public service obligations, the published fares apply as maximum fares for direct or through services, or geographically natural routing. In other cases the fares must not exceed the level resulting from the calculation system used for the interline agreements. 3.3. VARDØ-KIRKENES V.V. 3.3.1. MINIMUM FREQUENCIES, SEATING CAPACITY, ROUTING AND TIMETABLES The requirements apply throughout the year. A daily service obligation applies in both directions. Frequencies Minimum three daily return services Monday to Friday and minimum three return services Saturday and Sunday combined. Seating Capacity - In both directions at least 225 seats shall be offered Monday to Friday combined and at least 45 seats Saturday and Sunday combined. - If the number of seats occupied during the period 1 January to 30 June or 1 August to 30 November exceeds 70 per cent of the number of seats offered, the carrier shall increase the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication. - If the number of seats occupied during the period 1 January to 30 June or 1 August to 30 November is lower than 35 per cent of the number of seats offered, the carrier may reduce the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication. Routing The required services shall be non-stop if aircraft registered for less than 20 passengers are used. When using aircraft registered for 20 or more passengers, the required services shall be through flights with a maximum of one intermediate stop. Timetables Account shall be taken of the public demand for air travel. In addition, the following apply to the required flights on Monday to Friday (local times): Last departure from Kirkenes shall be at least six hours later than the first arrival in Kirkenes. 3.3.2. AIRCRAFT CATEGORY Aircraft registered for minimum 15 passengers shall be used for the required flights. Carriers' attention is especially drawn to technical and operative conditions applying at the airports, including short runway at Vardø. For further information, please contact: Luftfartstilsynet (Civil Aviation Authority) PO Box 8050 Dep. N - 0031 Oslo Tel. (47) 23 31 78 00. 3.3.3. FARES - Maximum basic one-way fare (fully flexible) in the operating year beginning 7 July 2004 must not exceed NOK 625,00. - For each subsequent operating year the maximum fare shall be adjusted on 1 April within the limit of the consumer price index for the 12-month period ending 15 February the same year, as made public by Statistics Norway (http://www.ssb.no/english/ subjects/08/02/10/kpi_en/). - The carrier shall be party to the domestic interline agreements in force at any time, and shall offer all discounts available under such agreements. - Social discounts conforming to the usual practice shall be offered. 3.4. SERVICE CONTINUITY The number of flights cancelled for reasons directly attributable to the carrier must not exceed 1,5 per cent of the planned number of flights on an annual basis, in accordance with the approved time schedule. 3.5. COOPERATION ARRANGEMENTS Following a tender procedure, which limits access to the routes encompassed by the public service obligations to one carrier, these conditions apply: Fares - All connecting fares to/from other air services shall be offered on equal terms for all carriers. Exempted from this are connecting fares to/from other services carried out by the tenderer, provided that the fare is maximum 40 per cent of the fully flexible fare. - Bonus points from frequent flyer programmes can neither be earned nor redeemed on the flights. Transfer Conditions All conditions set out by the carrier for the transfer of passengers to and from other carriers' routes, including connecting times and through check-in of tickets and baggage, shall be objective and non-discriminatory. 4. OTHER These public service obligations replace those published as (1A and 1B) in Official Journal of the European Communities C 112 of 9 May 2002, as far as scheduled air services between Vadsø, Båtsfjord, Berlevåg, Mehamn, Honningsvåg, Hammerfest, Kirkenes and Alta, and Vardø-Kirkenes v.v. are concerned. 5. INFORMATION Further information can be obtained from: Ministry of Transport and Communications PO Box 8010 Dep. N - 0030 Oslo Tel. (47) 22 24 83 53 Fax (47) 22 24 95 72. This documentation is also available on the Internet: http://www.odin.dep.no/sd/norsk/ aktuelt/anbud 2: HASVIK-TROMSØ V.V., HASVIK-HAMMERFEST V.V., SØRKJOSEN-TROMSØ V.V. 1. INTRODUCTION Pursuant to Article 4.1(a) of Council Regulation (EEC) No 2408/92 of 23 July 1992 on access for Community air carriers to intra-Community air routes, Norway has decided to impose public service obligations as of 7 July 2004 in respect of scheduled air services on the following routes: Hasvik-Tromsø v.v., Hasvik-Hammerfest v.v., Sørkjosen-Tromsø v.v. 2. THE PUBLIC SERVICE OBLIGATIONS INCLUDE THE FOLLOWING 2.1. GENERAL If the number of seats occupied Hasvik-Tromsø v.v., Hasvik-Hammerfest v.v. or Sørkjosen-Tromsø v.v. during the period 1 January to 30 June or 1 August to 30 November exceeds 70 per cent of the number of seats offered, the carrier shall increase the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication. If the number of seats occupied Hasvik-Tromsø v.v., Hasvik-Hammerfest v.v. or Sørkjosen-Tromsø v.v. during the period 1 January to 30 June or 1 August to 30 November is lower than 35 per cent of the number of seats offered, the carrier may reduce the seating capacity in accordance with the rules laid down by the Ministry of Transport and Communications in the annex to this publication. Account shall be taken of the public demand for air travel. All times specified are local. 2.2. REQUIREMENTS AS TO MINIMUM FREQUENCIES, SEATING CAPACITY, ROUTING AND TIMETABLES 2.2.1. REQUIREMENTS Hasvik-Tromsø v.v. and Hasvik-Hammerfest v.v. The requirements apply throughout the year. Hasvik-Tromsø - Minimum two daily return services Monday to Friday, of which at least one must be scheduled to connect with air services Tromsø-Oslo v.v. - Minimum one return service on Sunday, scheduled to connect with air services Tromsø-Oslo v.v. - On Monday to Friday first arrival in Tromsø shall be no later than 10.00 and last departure from Tromsø no earlier than 13.30. - In both directions at least one of the required daily flights Monday to Friday shall be non-stop. The remainder may have a maximum of two intermediate stops, of which one may be entailed by a change of aircraft provided that the connecting time does not exceed 45 minutes and that the carrier serves the entire route to and from Tromsø. Hasvik-Hammerfest Minimum one daily return service Monday to Friday, with arrival in Hammerfest no later than 8.30 and departure from Hammerfest no earlier than 14.30. On a weekly basis at least 120 seats shall be offered both to and from Hasvik on the Hasvik-Tromsø and Hasvik-Hammerfest routes combined. Sørkjosen-Tromsø v.v. The requirements apply throughout the year. A daily service obligation applies in both directions. Frequencies and Routing - Minimum two daily return services Monday to Friday. - Minimum two return services Saturday and Sunday combined. - The required services must be non-stop. Seating Capacity In both directions at least 250 seats shall be offered Monday to Friday combined and at least 50 seats Saturday and Sunday combined. Timetables The required services must be scheduled to connect with air routes Tromsø-Oslo v.v. In addition, the following apply to the required flights on Monday to Friday: - First arrival in Tromsø shall be no later than 9.30 and last departure from Tromsø no earlier than 18.00. - First departure from Tromsø shall be no later than 11.30 and last departure from Sørkjosen no earlier than 17.00. 2.2.2. AIRCRAFT CATEGORY Aircraft registered for minimum 15 passengers shall be used for the required flights. Carriers' attention is especially drawn to technical and operative conditions applying at the airports, including short runways at Hasvik, Hammerfest and Sørkjosen. For further information, please contact: Luftfartstilsynet (Civil Aviation Authority) PO Box 8050 Dep. N - 0031 Oslo Tel. (47) 23 31 78 00. 2.3. FARES - Maximum basic one-way fares (fully flexible) in the operating year beginning 7 July 2004 must not exceed these amounts in NOK: Hasvik-Tromsø 1260,00 Hasvik-Hammerfest 590,00 Sørkjosen-Tromsø 670,00 - For each subsequent operating year the maximum fares shall be adjusted on 1 April within the limit of the consumer price index for the 12-month period ending 15 February the same year, as made public by Statistics Norway (http://www.ssb.no/english/ subjects/08/02/10/kpi_en/) - The carrier shall be party to the domestic interline agreements in force at any time, and shall offer all discounts available under such agreements. - Social discounts conforming to the usual practice shall be offered. 2.4. SERVICE CONTINUITY The number of flights cancelled for reasons directly attributable to the carrier must not exceed 1,5 per cent of the planned number of flights on an annual basis, in accordance with the approved time schedule. 2.5. COOPERATION ARRANGEMENTS Following a tender procedure, which limits access to the routes encompassed by the public service obligations to one carrier, these conditions apply: Fares - All connecting fares to/from other air services shall be offered on equal terms for all carriers. Exempted from this are connecting fares to/from other services carried out by the tenderer, provided that the fare is maximum 40 per cent of the fully flexible fare. - Bonus points from frequent flyer programmes can neither be earned nor redeemed on the flights. Transfer conditions All conditions set out by the carrier for the transfer of passengers to and from other carriers' routes, including connecting times and through check-in of tickets and baggage, shall be objective and non-discriminatory. 3. OTHER These public service obligations replace those published as (2) in Official Journal of the European Communities C 112 of 9 May 2002, as far as scheduled air services on the routes Hasvik-Tromsø v.v., Hasvik-Hammerfest v.v. and Sørkjosen-Tromsø v.v. are concerned. 4. INFORMATION Further information can be obtained from: Ministry of Transport and Communications PO Box 8010 Dep. N - 0030 Oslo Tel. (47) 22 24 83 53 Fax (47) 22 24 95 72. This documentation is also available on the Internet: http://www.odin.dep.no/sd/norsk/ aktuelt/anbud ANNEX TO THE IMPOSITIONS OF PUBLIC SERVICE OBLIGATIONS IN RESPECT OF SCHEDULED AIR SERVICES IN NORWAY ADJUSTMENT OF PRODUCTION/AVAILABLE SEATS - PRODUCTION ADJUSTMENT CLAUSE 1. Purpose of the production adjustment clause The purpose of the production adjustment clause is to ensure that supplied capacity/seats offered by the operator is adjusted to changes in market demand. Whenever the number of passengers increases significantly and exceeds the following specified limits for the percentage of seats occupied at any time (the passenger load factor), the operator shall increase available seats offered. The operator may accordingly decrease available seats offered when the number of passengers decreases significantly. See specification in 3. 2. Periods for measuring passenger load factors The periods during which the passenger load factor shall be monitored and assessed range from 1 January to 30 June inclusive and 1 August to 30 November inclusive. 3. Conditions for changing production/available seats offered 3.1. Conditions for increasing production 3.1.1. An increase in production/available seats offered shall take place when the average passenger load factor on each single route encompassed by public service obligations is higher than 70 per cent. When the average passenger load factor on these routes exceeds 70 per cent in any of the periods mentioned in 2, the operator shall increase production/available seats offered by at least 10 per cent on these routes, at latest from the start of the following IATA traffic season. Production/available seats offered shall be increased at least so that the average passenger load factor does not exceed 70 per cent. 3.1.2. When increasing production/available seats offered according to the above, the new production may take place by using aircraft with lower seating capacity than specified in the original tender, if preferred by the operator. 3.1.3. For the route network encompassed by imposition 1 of public service obligations, the need for increase in number of seats offered shall be assessed on the basis of the average passenger load factor to and from each of the following destinations: Kirkenes, Alta, Hammerfest and Vadsø. 3.2. Conditions for decreasing production 3.2.1. A decrease in production/available seats offered may take place when the average passenger load factor on each single route encompassed by public service obligations is lower than 35 per cent. When the average passenger load factor on these routes is lower than 35 per cent in any of the periods mentioned in 2, the operator may decrease production/available seats offered by no more than 25 per cent on these routes from the first day after the end of the above mentioned periods. 3.2.2. For the route network encompassed by imposition 1 of public service obligations, the need for adjustments downwards in number of seats offered shall be assessed on the basis of the average passenger load factor to and from each of the following destinations: Kirkenes, Alta, Hammerfest and Vadsø. 3.2.3. On routes with more than two daily frequencies offered in each direction, reduction in production according to 3.2.1 and 3.2.2 shall take place by reducing frequencies offered. The only exception from this is when the operator uses aircraft with larger seating capacity than the minimum specified in the imposition of public service obligations. The operator may then use smaller aircraft, however, not with lower seating capacity than the minimum specified in the imposition of public service obligations. 3.2.4. On routes with only one or two daily frequencies offered in each direction, reduction in available seats offered can only take place by using aircraft with lower seating capacity than specified in the imposition of public service obligations. 4. Procedures for changes in production 4.1. The Norwegian Ministry of Transport and Communications has the responsibility subject to law for approving proposed time schedules submitted by the operator, including changes in production. Reference is made to Circular N-8/97 by the Norwegian Ministry of Transport and Communications, included in the tender file. 4.2. When production shall be increased according to 3.1, time schedules for new production/new seats should be agreed between the operator and the county (counties) as administrative unit affected. 4.3. If new production shall be offered according to 3.1, and the operator and the county (counties) as the administrative unit affected cannot agree upon time schedules according to 4.2, the operator can seek approval according to 4.1 for a different time schedule for the new production/new seats offered from the Norwegian Ministry of Transport and Communications. This does not mean that the operator may apply for approval of a time schedule that does not include the required increase in production. There must exist substantial reasons for time schedules for new production/new seats diverging from those which could be agreed by the county (counties) as the administrative unit affected according to 4.2, as a condition for the Ministry to approve such a proposal from the operator. 5. Unchanged financial compensation when changing production 5.1. The financial compensation to the operator remains unchanged when increasing production according to 3.1. 5.2. The financial compensation to the operator remains unchanged when decreasing production according to 3.2.