History

No recent changes

Project OS 05/04
Disclosure of certain issues associated with dormant AOCs

Purpose/Objectives

A risk to aviation safety may result if CASA lacks information about an AOC holder's operational status, particularly when an AOC remains dormant for a period of time. A dormant AOC is an AOC where the holder has ceased authorised activities for a specified period of time due to:

• the holder not being able to legally operate due to insolvency, or failure to meet the statutory obligations of the holder; or
• the holder chooses not to operate for other reasons not directly related to their legal obligations such as economic downturn, seasonal considerations or extended holiday period.

A number of safety risks have been identified with dormant AOCs which may include, for example, the AOC holder recommencing operations without fully meeting or maintaining all of the entry control standards, or operations may recommence with a different organisation, or chain of command, or key personnel, or facilities and/or procedures.

Currently CASA is not kept fully informed of AOC dormancy which has led to difficulty in conducting regulatory oversight, caused administrative delays, created undesirable conduct of activities/operations, and given rise to safety concerns and possible risks to aviation safety, particularly in air transport and the protection of fare paying passengers.

This project sets out to develop an appropriate risk mitigation strategy by requiring AOC holders to notify CASA if they cease authorised activities for specified periods of time. The project will seek to develop a suitable amendment to CAO 82.0 that will set out the general conditions for certain events that must be notified to CASA.

Rules affected

CAO Part 82 - Air Operator's Certificates

Project management

Project Leader: Mark Taylor
Project Sponsor: Greg Hood