ECCP Aviation Working Group Mandate and draft work programme Directorate C – Air and Chemicals

1. ECCP Aviation Working Group Mandate and draft work programme Directorate C – Air and Chemicals DG Environment European Commission

2. Overview • The Commission Communication • The Working Group on aviation • The mandate • Composition • Logistics • Provisional dates • Workplan • Conclusions • Next steps

3. Commission Communication • Communication adopted on 27 September 2005 • Recommends including the climate impact of the aviation sector in the EU emissions trading scheme • Part of a comprehensive approach

4. Commission Communication Identifies key design parameters: • ENTITY: aircraft operators • EMISSIONS COVERAGE: CO2 and non-CO2 impacts should be addressed to the extent possible • SCOPE: in environmental terms, the preferred option is to cover all flights • ALLOCATION: harmonised allocation methodology

5. Working Group on Aviation • Aviation working group under ECCP • To consider ways of including aviation in the EU ETS in accordance with the terms of reference annexed to the Communication

6. Working Group: mandate • Coverage of the climate impact of aviation • Scope of emissions covered • Approach used for calculating and apportioning the overall emissions limitation for the aviation sector • Compliance • Administration

7. Working Group: composition • Chaired by the Commission • 25 stakeholders made up of: • Experts from Member States • Key stakeholder organisations including industry; consumer; and environmental organisations. • Commission officials of relevant services • Contributions from external experts where appropriate

8. Working Group: logistics • Meetings in Brussels • As a general rule, no reimbursement of travel costs • 4 meetings planned between November 2005 and March 2006

9. Working Group: provisional dates • 9 November 2005 • 26 January 2006 • 16 and 17 February 2006 • 21 March 2006

10. First meeting: coverage The first meeting will consider: • The types of flights which should be covered by the scheme; and • Whether there should be any exclusions from the scheme or de minimis thresholds for inclusion in the scheme

11. Second meeting: types of emissions The second meeting will consider the types of emissions to be included in the scheme and the options for covering non-CO2 emissions such as: • an emissions multiplier; or • ancillary instruments such as differentiation of airport charges according to NOX emissions.

12. Third meeting: allowances • Two day meeting • Day 1 will consider the mechanics of how to include aviation in the ETS given that international aviation is excluded from targets under the Kyoto Protocol • Day 2 will consider: • issues relating to setting the overall limitation on emissions from the aviation sector; and • the apportionment of that limitation between operators

13. Fourth meeting: permitting, MRV and compliance issues The fourth meeting will consider questions related to: • permitting; • monitoring, reporting and verification of emissions; and • enforcement including penalties for non-compliance.

14. Conclusions • At the end of each meeting the chairman will circulate minutes for comments from and adoption by the group • By 30 April 2006 the chairman will prepare a final report based on the minutes of the meetings. The final report will draw conclusions as well as set out key options based on discussions in the group

15. Next steps • Report from WG by 30 April 2006 • Report on review of ETS by 30 June 2006 • Aim to present legislative proposal end of 2006