ICAO/McGill Conference on Aviation Safety, Security and the Environment
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ICAO/McGill Conference on Aviation Safety, Security and the Environment September 14-16 2007 Civil Aviation and the E.U. Emissions Trading Scheme Martin Staniland European Union Center and Graduate School of Public and International Affairs University of Pittsburgh.

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ICAO/McGill Conference on Aviation Safety, Security and the Environment

September 14-16 2007

Civil Aviation and the E.U. Emissions Trading Scheme

Martin Staniland

European Union Center and Graduate School of Public and International Affairs

University of Pittsburgh


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Civil Aviation and the E.U. Emissions Trading Scheme Environment

  • What is the problem?

  • What is the Emissions Trading Scheme?

  • What are the goals for the civil aviation sector?

  • Who/what in aviation will the scheme cover?

  • How will it work?

  • When will it start?

  • Issues? Criticisms?


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Civil Aviation and the E.U. Emissions Trading Scheme Environment

What is the problem?

  • Total EU Co2 emissions = c.50% of global total (plus NoX, water vapor)

  • Civil aviation emissions in EU = (2005) 161mn. tons (c.4% of EU total)

  • But rising sharply – by 73%, 1990-2003 (rising 7.5% in 2004 alone)

  • Projections of continued traffic growth, especially in accession states

    What is the EU Emissions Trading Scheme?

  • Created 2003 following ratification of Kyoto

  • Intended to contribute to holding down global warming to 2°C above pre-industrial level

  • Applied initially to12,000 plants within EU, in Phase I (2005-7)

  • Cap-and-trade: initial allocations in Assigned Amount Units (AAUs); surplus allowances may be sold in carbon market; deficit must be bought (or obtained via Kyoto “project credits”)

  • Civil aviation: added 2006, effective 2011


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Civil Aviation and the E.U. Emissions Trading Scheme Environment

  • What are the goals for civil aviation sector?

  • Hold emissions to 2004-6 level: 161 mn tons, vs. between 202 and 286 mn tons by 2020 under different “business-as-usual” scenarios

  • Required abatement (therefore) 41 – 125 mn. tons (20-44%), by combination of emissions reduction and purchases in carbon market

  • Who/what in air transport will the scheme cover?

  • Eventually, all commercial flights to and from airports within EU (challenged by non-EU states, including US)

  • Excludes military flights, flights by heads of state and government, emergency, training and recreational flights


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Civil Aviation and the E.U. Emissions Trading Scheme Environment

  • How will it work?

  • Operational measures: improved ATC; more efficient airport operations; changes in flight procedure (e.g., Continuous Descent Approach)

  • Technological changes: more efficient motors/aircraft design; new fuels

  • Strategic/commercial decisions: fewer flights, fewer new aircraft, larger but more economic aircraft, higher fares?


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Issues Environment? Criticisms?

  • Goal? Hold at 2004-6 level; reduce to 1990 level ?(!)

  • Open or closed system? (only civil aviation or all sectors?)

  • Base? (2004-6 or later?)

  • Allocation to whom? Aircraft operators (not states, airports, aircraft constructors)

  • Method of allocation? Free? (Grandfathering? Benchmarked?) Auctioned? Mixture of free and auctioned? What mixture?

  • Multiplier? (total environmental effect = 2-4 x accumulated Co2 emissions)

  • Monitoring: by fuel consumption

  • Accountability: “accountable entity” = Member State (+ airlines)

  • Scope: Intra-EU flights or all “arriving and departing” (i.e. including non- EU carriers: NB. for entire distance flown, not just within EU airspace)

  • Discrimination: LCCs? Short-haul/long-haul? New entrants? New Member States? Low income vs. higher income passengers?

  • Impact: What will it cost? Who will pay? Will it work?


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