Retail surgery: What are the road blocks to drone retail delivery?

As Google, DHL and Amazon test drones, there has been speculation that the technology will revolutionise retail and package delivery.

Addleshaw Goddard projects lawyer Lauren Payne says: “The CAA [Civil Aviation Authority] agreeing to lift the line of sight restriction [requiring the drone operator to maintain visual contact] under current legislation for Amazon’s new test flights indicates confidence in the future use of drones, and a desire to make the UK a drone-friendly environment.

“Yet, as with many new technologies that carry an element of risk, progress with use must wait for regulators and policy-makers to set out parameters for safe and secure operation.”

Safety concerns with drones flying in or close to busy airspace must be accounted for. Collision avoidance and geo-fencing – technology that limits a drone to operating within specified co-ordinates – could reduce the risk of drones straying into controlled airspace. This is currently being developed and tested by operators including Amazon.

The risk of drones being hacked to gain control or having their transmissions jammed is becoming more prevalent and is likely to be an important consideration for operators and regulators.

Liability for drone accidents or incidents is likely to be a challenge for operators. As the scope of exposure to third parties on the ground increases, so too does the risk of incidents or accidents giving rise to an insurance claim.

“Until drone operators can demonstrate their operations are safe and compliant with the applicable legal regimes, drone delivery is unlikely to take off,” says Payne.

“That said, the CAA’s agreement with Amazon demonstrates the intention to facilitate the development of commercial drone use and analysts still predict massive growth in the drone sector despite the current regulatory uncertainty.”