Environment

EU ETS

Opposition amongst non-European states, especially China, US, India and Russia, continues to be strong. Since the adoption of the Moscow Declaration in February, India has followed China in banning its airlines from complying with the EU ETS, while similar legislation is still being pushed in the US Senate.

Recently, the European industry launched a letter-campaign urging EU leaders to resolve the escalating conflict. While continuing to publicly dismiss calls for the EU ETS to be postponed, concerns are growing generally amongst European governments regarding the long term viability of the decision to include aviation in ETS. Both Germany and France have expressed concern about the escalating trade row after China blocked an additional 10 airplane orders.

A growing number of Members of the European Parliament across party lines are urging the European Commission (EC) to start negotiations with third countries to defuse the conflict. As a result, EC officials from DG CLIMA have begun to articulate the conditions under which the EC might consider changing its legislation. In recent press statements, the EC has indicated it is now willing to consider “an alternate scheme that would just charge for the air miles over European airspace”, but it continues to put the burden of developing such a scheme on ICAO.

ICAO

Governments at ICAO are pursuing their work towards the development of a framework for market-based measures, as well as a single global mechanism for addressing aviation emissions. IATA is closely involved in the ICAO process and is part of the expert panel assisting the ad hoc group advising the ICAO Council. A first update to the Council is expected in June with final proposals to be ready by the end of the year.

IATA

IATA’s Climate Change Task Force is developing options for implementing the industry’s own CNG2020 strategy in consultations with the regional airline associations. It is doing so within the context of a broader strategic approach towards market-based measures, taking into account the current ICAO and EU ETS developments. A full update with possible recommendations will be presented to the IATA Board in June.

Aviation & Environment Summit

IATA continues its government lobbying and engages with a wide range of stakeholders as part of an industry-wide push to demonstrate socio-economic benefits of aviation and promote its role in sustainable development. The recent ATAG Aviation & Environment Summit held in Geneva, attended by over 350 delegates from 47 countries, provided an excellent platform for advancing this agenda. To underline its commitment, IATA, along with other aviation industry leaders, signed the Aviation Benefits Beyond Borders Declaration.