European Climate Commission stated the EU Emissions Trading Scheme is fully in compliance with international law and it is confident that the European Court of Justice (ECJ) will side with it over the inclusion of aviation in the scheme (Bloomberg, 04-Jul-2011). The European Union has no intention of withdrawing the relevant legislation. The EU stated that ‘equivalent measures’ to reduce aviation emissions are the only exceptions it would consider when making exemptions. Under the ETS, 82% of the 216 million tonnes of airline CO2 emission allowances making up the industry cap would be allocated for free. 15% would be auctioned and the final 3% allocated to special reserve for later distribution to fast-growing airlines and new entrants. ECJ is reportedly due to present its opinion on the case in early Oct-2011.
6-Jul-2011 11:00 AM