Airlines raise fears over non EU airline exemptions from carbon trading
28.09.11
British Airways and Virgin Atlantic have joined forces to call on the government to ensure they are not put at a competitive disadvantage by the EU’s new carbon trading scheme, the FT reports. The chief executives of International Airlines Group, owner of BA, and Virgin Atlantic have written to Vince Cable, business secretary, raising concerns that airlines based outside the EU may secure an exemption from the scheme.
All airlines flying into or out of the EU are meant to comply with the scheme from January, but the Air Transport Association of America, a US aviation representative body, has told the European Court of Justice that the scheme should not apply to foreign airlines, and an advisory legal opinion is due next week. In June, China escalated its protest against the EU scheme by threatening to derail plans by Hong Kong Airlines to buy aircraft from Airbus. On Monday, the European Commission confirmed it is sticking to its plans to include foreign airlines.
In their letter to Mr Cable, Willie Walsh of IAG and Steve Ridgway of Virgin say: ‘What is particularly worrying is that the commissioner [in the statement on Monday] makes no reference to the ongoing legal and political challenges by third country airlines and their governments against the EU [emissions trading scheme], which are turning [the scheme] into a trade and fiscal problem, rather than an environmental solution.'
We are relying on you, and your colleagues, to ensure that British and European carriers are not put at a competitive disadvantage against our international competitors as a result of the commissioner’s failure to understand the economic realities of air travel.’
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