Sept 25, 2012
The US Senate has passed a bill that forbids U.S. airlines from paying carbon emissions on European flights. This is a clear signal to the EU to back down from applying its emissions law to foreign carriers. This will add pressure on the ICAO to work on a global alternative to the law, which it has not done till now.
"Congress has spoken—U.S. airlines should not be subjected to this illegal scheme that amounts to little more than a cash grab for the European Union as none of the funds collected are required to be used for environmental purposes," said A4A President and CEO Nicholas E. Calio.
The EU has been enforcing its law since January. Indian and Chinese carriers have been asked by their governments not to pay the tax. China had threatened retaliation - including impounding European aircraft. Fearing loss in business, EADS had called for restraint from its government on the law.