ETS suspended for one year

C) Tax sea shipping which currently contributes 1000X more carbon emissions than air travel.

There are two ways to reduce emissions, A) produce more efficient designs, or B) reduce the number of people flying, and consequently flights flown.

Creating a fake carbon trading market will do neither.

Ha! First China, now America. Looks like our pals across the pond have stuck two big fingers up at ETS too. Obama’s signed a bill stating US carriers do not have to pay the tax.
Now the Brussels bureaucrats have egg on their face… :p
http://www.reuters.com/article/2012/11/27/us-usa-airlines-emissions-idUSBRE8AQ1AR20121127

I hadn’t fully appreciated just how stupid ETS was until I read the article. The plan is to tax each ton of CO2 emitted on flights to and from the EU. This includes the paying of tax for miles flown outside of EU airspace.

Take American Airlines’ route from LAX-LHR. ETS would mean AA would have to pay tax on all the emissions released not just over EU airspace, but over American, Canadian and international airspace too! What a stupid tax. I fully support the US congress on this issue, why should American carriers be paying the EU for miles flown over US airspace? It’s way outside the EU tax-man’s jurisdiction.

If I drive into a low emissions zone, I expect to pay tax on the emissions my car emits in the zone… Not on all the emissions realised on the journey to the zone as well!

Following the suspension of ETS, China Eastern Airlines has agreed to buy 60 Airbus A320 aircraft. So, fortunately the backdown by the EU has come in time not to affect trade.

http://www.traveldailymedia.com/142877/china-eastern-buys-60-new-a320s

Steven

It could just be a pause to gain firmer support for a final push to put ETS in place permanently. Or, it could be a covert and quiet way of backing out of non-European ETS charges, as the opposition to it from China, India, and USA, is too strong and determined. At the end of the year, it will be surreptitiously dropped.

There is, of course, growing opposition to the notion of there being any problem with CO2 levels and global temperatures, which may be gaining ground politically. However, the temptation to keep all that lovely tax revenue coming into the cash desperate EU, might be a temptation too far.

It’s a stupid tax, especially on an industry that has real motivation to burn as little fuel as possible.

Totally agree, the airline industry is already looking at every conceivable way to reduce fuel consumption (and thus CO2 emissions). Adding a tax isn’t going to make European airlines and airports become greener, just less competitive. 🙁

I wonder how much this has to do with Chinese airlines threatening Airbus’s order book.

It’s a stupid tax, especially on an industry that has real motivation to burn as little fuel as possible.