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EU aviation emissions proposals attacked from all sides

An amended Commission proposal to force airlines to pay a carbon charge on flights within the European Economic Area was denounced at Parliament's transport committee yesterday, by left- and right-wing MEPs alike.

“We look ridiculous”, Conservative MEP Jacqueline Foster said of the new emission trading system (ETS) proposals, which are due to come into effect on 1 January.

"The scheme was never going to save CO2 [emissions]," she said. "The majority in ICAO voted against, and you didn't like what the majority said. You don't like mutual consent".

Last month, the EU executive reduced the scope of its proposed ETS rules to exclude emissions over international air space, following talks at the International Civil Aviation Organisation (ICAO) in Montreal.

The Commission also granted developing countries exemptions to the scheme, if they emit less than 1% of global aviation emissions. This, however, could apply to as many as 166 of ICAO's 192 nations.

This final ICAO text was thrashed out in tough debates, amid harsh oppositions from the USA, Russia and China to the EU ETS rules. But MEPs lined up to criticise it for weakness and inefficiency.

For Conservatives, the Commission was guilty of disrespecting concepts of mutual consent and multilateralism. This position is supported by the aviation industry.

At a debate in the European Parliament on 13 November, Karl Heinz Haag, Lufthansa's head of environmental affairs said the proposals did not take into account for "the potential international conflicts” it could create.

He called for a 'global approach' from the EU, including an agreement with third countries. But for the European Commission it is a question of sovereignty.

A question of sovereignty

Elina Bardram, head of the EU's international carbon market unit said that EU laws were not made on the basis of third countries opposition. These, she said, “have to abide by the local rules”, a position shared by the civil sector.

Bill Hemmings, aviation programme manager at the Transport & Environment NGO said: “If you want to enter Europe’s house then please take off your shoes and abide by Europe’s rules. Foreign airlines operating in Europe must be bound by this principle just like anyone else. Or is aviation asking to be exempt from European law? The Commission has proposed the absolute minimum that Europe can do and still retain control over their sovereignty."

Even with a much reduced geographical coverage, Europe could still achieve the same CO2 cuts by reducing the amount of carbon permits available, he added.

The head of the Parliament's transport committee, Brian Simpson (S&D), said that he regretted not having asked for the ETS to be considered a joint competence with the environment committee, which is thought less conservative. But Simpson said that if a Commission proposal was on the table right now, it was because "this is what the European Parliament voted for by a majority at that time”.

“Since 2005, the political priority has gone from saving the planet to saving your job”, he continued.

The current situation was “a mess” he said, on which a majority of member states haven’t even taken a position, and for which the European Commission “has no plan B”.

Kerosene tax?

The 'Plan B' issue was also raised by Green MEP, Michael Cramer, as was the absence of a 'threat' that could have been used for leverage in the ETS negotiations.

Cramer pointed out that in Germany, airlines had accepted the ETS only to avoid having to pay a kerosene tax, which would have been more expensive. Proposing such an alternative could have pressured third countries in the talks, he argued.

“[A] Kerosene tax of course is a threat to airlines, and I didn’t even mention the VAT. That could be a pressure and I would like to see how China and Russia would react to that," he said.

Cramer conceded that the Commission had no Plan B and said that aviation tax revenue collection was “not in the competence of the Commission”.

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