Agreement Won't Stop Battle Over Carbon-Trading Program

The United States and the European Union jumped on the 'going green' bandwagon Monday with an agreement to take steps to cut emissions from aircraft. The Federal Aviation Administration and the European Commission said the plan will allow the quick implementation of new emission-reduction technologies, according to the Associated Press.

Some of the planned methods include a system to reduce aircraft engine power when landing, thereby reducing the noise, nitrogen dioxide and carbon dioxide released.

The EU says this research program is only one part of its overall push to reduce aviation emissions, a rapidly growing problem as new low-fare airlines are encouraging more people to fly.

"It supplements our proposal to include aviation in the emission rights trading system," EU Transport Commissioner Jacques Barrot said.

The US states it and the EU are going to work with aviation navigation services, aircraft manufacturers and airlines to test environmental benefits of the new measures.

Monday's agreement will not ward off a battle over the EU's forcing its carbon permit trading program on all flights in Europe, however. US officials have warned that including non-European airlines in the trade scheme may violate international aviation and trade law.

As ANN reported, the commission wants to act to cap greenhouse gases contributed by airliners, one of the fastest growing sources. EU environment commissioner, Stavros Dimas, says the most expedient way to do that is to include the airlines in the system through which industries earning credits for reducing emissions can sell them to other industries which can't make adequate reductions.

"Bringing aviation emissions into the EU emissions trading scheme is a cost-effective solution that is good for the environment and treats all airlines equally," Dimas added.

According to the AP, the EU said its plan would give the aviation industry a "financial incentive" to either make a change to cleaner technology or cut back their routes and sell their unused carbon permits.

European airlines complained earlier this month the trading program, as it is currently designed, would stifle future growth and virtually eliminate profits.

As ANN has reported, a report by Ernst & Young and air-transport consulting firm York Aviation says the plan could cost the industry about $5.4 billion annually.

In spite of the controversy and caution from the US, the plan won the approval of EU transport ministers Saturday, although it still requires approval by the European Parliament before it can become law.

"Every mode of transport, including the air mode, has to make its contribution to tackling climate change," said Wolfgang Tiefensee, Germany's transport minister, to the BBC.

FMI: www.eu.int, www.ec.europa.eu