The EU-ETS problem cannot be wished away says AAPA chief

Posted by- Neelam Mathews

Dec 23, 2011

As the Jan 1 deadline for EUs ETS draws closer, Association of Asia Pacific Airlines (AAPA) says it is deeply concerned that fundamental political differences between the EU and non-EU governments regarding the application of the EU ETS to international airlines remain unresolved, leading to heightened fears about the threat of retaliatory measures that could be detrimental to the interests of the air transport industry and the travelling public.

Notwithstanding the recent opinions expressed by the Court of Justice of the European Union (CJEU), numerous foreign governments have reiterated their strong objections, on both legal and policy grounds, to the inclusion of foreign carriers in the EU ETS without the consent of foreign governments.

Commenting on the dispute, Andrew Herdman, AAPA Director General, said: “The EU has painted itself into a corner, by stubbornly refusing to recognise the legitimacy of the concerns repeatedly voiced by foreign governments on this issue, apparently in the mistaken belief that no one will call their bluff.  But the problem cannot be wished away.  Several foreign governments have already indicated that they are now preparing to take appropriate actions, including possible retaliatory measures."

Herdman reiterated AAPA’s position. “We urge the EU to scrap plans to include foreign airlines within the EU ETS, rethink its position and re-engage with the international community.  This dispute needs to be resolved through constructive political dialogue, rather than embarking on a bruising trade war.  AAPA strongly urges all governments to work within the auspices of ICAO towards an effective multilateral agreement on a global, sectoral framework on aviation and the environment, and to refrain from introducing duplicative measures, including the imposition of arbitrary taxes that deliver no real environmental benefit."