Article 1
Objective and scope
This Regulation establishes common technical requirements for:
1. the licensing, training and testing of pilots involved in the operation of aircraft referred to in Article 4(1)(b) and (c) of the Basic Regulation;
Article 3
Pilot licensing
Personnel referred to in Article 1 shall be qualified in accordance with the provisions of Annex I to this Regulation, hereon referred to as Part-FCL
You are still ignoring the bit about acceptance of third country licences in Article 4!
Look at the recital to the basic law:
In addition, third-country aircraft operated into, within or out of the territory where the Treaty applies should be subject to appropriate oversight at Community level within the limits set by the Convention on International Civil
Aviation, signed in Chicago on 7 December 1944 (the Chicago Convention), to which all Member States are parties
(the Euro lawmakes love recitals in legislation because courts over there give legislation what is termed a purposive interpretation, i.e. what is intended by the legislation rather than simply looking at the bare words divorced from the intent behind it).
Yes, this does entitle them to refuse to recognise - or place limits upon - licences granted by third countries to EU citizens. The question is not can they do it but have they (no) or will they (possibly). As IO540 points out, this issue is a lot more complex than trying to restrict a few FAA IR holders based in the EU from exercising the privileges of their licence on N reg aircraft. There are a lot of businesses which could be seriously inconvenienced and have additional costs needlessly added to their operations. This last point is particularly significant in the present climate when we face the prospect of a stalled recovery. The threat by those companies based in the EU to move their base of operations outside the EU may have a sobering effect on the EU ministers.
BillieBob: EASA say all sorts of things at various stages of the process, but the draft regulations do not address all the points previously raised. For example, Annex III tells you in detail what the process of validation and conversion is, but it does not tell you the cases where such validation of conversion is required under EU law. I defy anyone to show anything in the draft regs saying that if you are a holder of a third country licence residing in the EU then you require a conversion or validation to lawfully fly that third country's aircraft in the EU. Point me to the draft regulation that says this.
Let us not forget that these regulations need EU Council of Ministers and possibly Parliamentary approval. Having only recently told EASA to stop re-inventing the wheel it remains to be seen how the ministers and commission react to this injunction having been blatently ignored.
You may yet see EASA told to go back and come back with something simpler such as simply adopting JAA into EASA.