Loading

EU Emissions: trading Missing the point

This is the Perspective from today's edition of Europe Airline Daily - the comprehensive new pre-digested daily update on strategic news from Europe, saving you time and keeping you right up to date. Complimentary subscriptions to this report are currently available. Register now!

On 9 July, the European Parliament is due to rubber stamp the deal agreed last week with the EU Presidency. This will impose an Emissions Trading System on all airlines landing and taking off at a Community airport, effective 2012. All rhetoric apart, there are at least two major faults with this action: it is unilateral and will undoubtedly provoke foreign government annoyance – and, probably, retaliation; it also will impact most unfavourably on airlines which rely predominantly on European markets. Inevitably the EU airlines themselves will be worst hit, but many others will be caught in the net. According to AEA and IATA, the additional cost to travellers (for they will be the ones who foot the bill) of airlines being forced to trade in the proposed system will be around USD5 billion a year.

Become a CAPA Member to access Analysis Reports

This CAPA Premium Analysis Report is 593 words.
Become a CAPA Member

Our Analysis Reports are only available to CAPA Members. CAPA Membership provides exclusive access to in-depth insights on the latest developments in the aviation and travel industry, developed by our team of dedicated analysts located in Europe, North America, Asia and Australia.

Each report offers a fresh perspective on the latest industry trends and is available online or via the CAPA mobile app, with customisable alerts to help you stay informed and identify new business opportunities.

CAPA Membership also provides access to our full suite of tools, including a tailored selection of more than 400 News Briefs every weekday and comprehensive data and analysis on thousands of companies around the world.