European Union governments and lawmakers have reached a provisional agreement to include airlines in the region’s Emission Trading Scheme (ETS) beginning in 2012, according to a Reuters report.
The EU Parliament wanted airlines to begin buying permits for 25% of their carbon dioxide emissions, starting in 2011, but settled for a year later, the report said.
The issue has been highly contentious, as airlines, represented by the International Air Carrier Association (IACA), say they will not be able to shoulder additional costs on top of increasing fuel prices. And environmentalists and some policy-makers assert that the industry, which contributes 3% of all greenhouse gas emissions in the EU, must do its part in reducing heat-trapping emissions.
Under the agreement, airlines taking off or landing in the EU will be required to purchase 15% of their permits in ETS auctions. They will receive the remaining permits for free. The emissions cap for airlines will be set at 97% of the average
emissions levels from 2004-2006, and then reduce to 95% from 2013 to
2020. The plan still must be approved by the full European Parliament.
U.S. airlines and the White House have objected to the plan in the past, but have yet to met a comment on the newly set start date.
IACA Director General Sylviane Lust said, "Policymakers have completely disregarded the future of the aviation industry."
"Fifteen percent auctioning in 2012 is unaffordable and unacceptable for our airlines, given today’s high fuel prices and weakening demand," she added.
Joao Vieira of the environmental group T&E sees things differently. "The policy will offset just one year’s growth in emissions from the aviation sector," he said.
Air traffic is expected to double by 2020.
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