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Wed, Dec 20, 2006

Report: European Union Plans To Scale Back CO2 Regulations

Plan Gives Foreign Airlines Extra Time To Comply

Reports from Europe indicate the European Commission will soon propose regulations requiring all airlines flying from EU airports to take part in its controversial carbon emissions trading scheme... but the plan may give foreign operators additional time to comply.

According to BusinessWeek.com, the draft proposal -- to be unveiled Wednesday -- will encompass "all flights arriving at or departing from an airport in the Community as of 1 January 2012." However, a separate report in the Financial Times says international carriers may get up to two year's grace period before they must comply with the standards.

All intra-European flights will be required to adhere to the "carbon market" trading scheme starting in 2011.

Under the trading scheme -- based on the idea of a "carbon footprint" --  airlines are given a certain number of pollution credits to cover carbon dioxide emissions from their planes. If a carrier exceeds its limit, the airline must purchase credits from other companies.

The emissions trading program began this year, and does not currently apply to aircraft. However, as Aero-News reported, the commission has threatened to extend the program to airlines -- billed by the EC as the fastest-growing source of carbon emissions -- for several months.

The draft proposal states airlines will be able to buy pollution credits "from other sectors in the [EU] community scheme for use to cover their emissions."

FMI: http://ec.europa.eu/index_en.htm

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