EU proposes CO2 emission quotas for airlines

(BRUSSELS) - The European Commission proposed Wednesday to set carbon dioxide emission quotas for airlines from 2011, a stance already met with hostility by the aviation industry and environmentalists.

The proposal, which still has to be adopted by EU member states and the European Parliament, would see emissions rules imposed from 2011 on intra-European flights and from 2012 for flights originating outside the bloc.

It would cover both EU and foreign aircraft operators and the quotas would be based on emission levels from last year.

"Aviation too should make a fair contribution to our efforts to cut greenhouse gas emissions," Environment Commissioner Stavros Dimas said in a statement.

The quotas would be part of the EU's Emissions Trading Scheme. That would allow airlines to sell surplus quotas if they cut back emissions far enough or would be forced to buy additional allowances if they produce too many.

The trading market has been up and running since last year. It is aimed at encouraging green technologies and allowing companies that manage cut-backs to trade the balance of their quotas for cash from less emissions-efficient organisations.

"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 said.

EU planes account for about half the industry's carbon dioxide emissions world-wide.

Aircraft carbon dioxide emissions account for only about three percent of the global total but they have increased by 87 percent since 1990, according to the Commission, the EU's executive body.

Their real impact on global warming is amplified two to four times because planes flying at high altitude leave condensation trails which add to the greenhouse gas effect.

If emissions continue to grow at such levels, they would hamper the EU's ability to meet its target reductions required under the Kyoto climate protocol.

Kyoto requires industrialised countries to reduce emissions of six greenhouse gases by 5.2 percent by 2008-2012 compared with their 1990 levels.

But there is no guarantee the Commission proposal will get through.

Some European MEPs fear that airlines will simply pass the costs of the quotas onto passengers by raising ticket prices.

According to Commission estimates, ticket prices for an average internal EU flight could rise by up to nine euros (almost 12 dollars) by 2020 if the full cost of the quotas is passed on.

The Association of European Airlines (AEA) made its stance clear last month.

"It would astonish us if the US and Japanese airlines accept it," said spokeswoman Francoise Humbert, adding that the AEA would prefer "a system which only covers intra-European flights."

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