This weeks blog topic is about the European Union Emission Trading Scheme (EU ETS) this is a process developed by the European Union to reduce carbon emissions. We are going to explore what ever this is.
The EU Emission Trading Scheme is set up between the individual states in the European Union, the way this works is each year the states are allocated a certain amount of "allowances" for carbon emissions that can be emitted in each state, one allowance is equal to one ton of carbon emissions. The incentive to the system is in the case that the state does not use all of its allowance it is able to sell the remaining allowances to states that screw up and use more than their allowance. (Further information located here)
This system seems like a great idea to reduce the overall carbon emissions being released form the European Union however the United States and other countries are opposed to participation in the Emission Trading System because of the strain it puts on the American commercial airline operators in the area of the European Union. Since January foreign air carriers have been forced to buy EU ETS credits in order to pollute the Europeans air however they will not have to pay until next year (See more). Even with all of the opposition from the United States, China, India, Russia, and other large countries that operate aircraft in the EU officials in the EU are standing by there choice to enact ETS. The EU officials have made statements regarding a worldwide potential ICAO operated emission reduction system for aviation.
As stated above the air carriers will not have to pay for these EU credits until next year and until then ICAO has been tasked with creating a new carbon emission reduction system that will probably also result in unnecessary credit purchases. Personally I think that the solution to this issue should be no solution. I think that many American air carriers have already proven how difficult it is to make it financially without government aid and I think this will just make it even more difficult.
As I previously stated I don't think that there should be any solutions to carbon emissions for the aviation world, if they care so much about carbon emission start somewhere else before you nickle and dime air carriers that are already hanging on by a thread.
I agree with your views on the ETS, David. However, shouldn't we focus on something to reduce carbon emissions?
ReplyDeleteI agree with starting somewhere other than aviation. The EU had a good idea to run its ETS without including the aviation industry for 7 years. Now with the inclusion of EU domestic flights, they are really just putting a green tax on airline tickets. Maybe it will help build wind mills for green energy, or maybe it wont. I'm curious to see the results.
DeleteNow that the world has realized that the potential to make money is there, I think that "no solution" will not really be the correct solution. They need some kind of solution, with the focus on controlling emissions and making a profit.
ReplyDeleteI agree with you that if there is an added "green" fee for these emissions it will likely result in the U.S. government having to step in to assist the airlines. However like Joe said, now that there has been something implemented there is almost no way that there will be no solution with money to be made.
ReplyDeleteI also agree that the focus should be on some of the bigger offenders...aviation not included.
ReplyDeleteI feel that the money that a system like this earns should go directly towards ways to reduce emissions and green energy and not into the government’s pocket.
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