EU approves plans to include airlines in emissions trading plan
24 Oct 2008
Brussels, Belgium: The European Union approved plans Friday that will compel airlines to participate in a greenhouse gas reduction programme. The move has already drawn strong criticism from airlines battling severe economic downturn and financial turmoil in the markets, which have begun to impact global air travel in more ways than one.
The EU decision will compel all airlines flying within its borders to start trading in pollution permits beginning 2012. Under the programme airlines will have to buy additional permits if they wished to operate more, or longer, flights, as these produce more carbon emissions.
Apart from European carriers, which have criticised the programme for the impact it would have on their economic well being, the United States has said that the EU has no right to force American carriers flying across Europe to follow the same rules.
It has said such measures violate international aviation rules.
Economically less well off countries from East Europe have also objected as accessing cleaner technology is a costly process and particularly hurtful at a time of economic crisis.
Airlines around the world have been battling higher fuel costs for a long time and even as fuel costs have just begun to dip, a severe economic downturn has no begun to negatively impact the aviation industry. Airlines are also wary of the additional costs that the new measures are likely to impose on the industry as a whole, which is being estimated to be in the region of 4 billion euros ($5.12 billion) a year.
On its part, the EU wants to leverage the new rules for a broader international agreement to reduce emissions from aviation next year.
The EU wishes to cut overall carbon emissions by 20 per cent by 2020. The European Parliament has already approved the measure.
