Press Release

Issued by European Business Aviation Association.

April 3, 2014

This morning the European Parliament said yes to a new proposal that changes quite considerably the European Emissions Trading System (ETS) for air transport. Outvoting the Environment Committee, the Plenary in Strasburg approved a compromise that limits the application of the EU ETS to flights within the EU until 2016.

Back in 2008, it had been decided that airlines flying to and from the EU would pay for their emissions from January 2012 onwards. However, in late 2012 the EU 'stopped the clock' and temporarily exempted foreign flights from compliance until May 2014 – in order to allow the International Civil Aviation Organisation (ICAO) to work on a global solution.

Following ICAO's resolution to design a worldwide scheme by 2016, the Commission proposed in late 2013 a wobbly compromise that didn't fully exclude international flights, but Germany, France and the UK insisted that these flights be excluded altogether from the scheme, bowing to pressure from third countries. This morning's vote prevents any trade war and, at least in theory, relieves Business Aviation from covering up to 12% of its emissions.

The revised Directive also includes crucial exemptions for small operators such as the possibility for those which use the Eurocontrol ETS Support Facility to have their reports considered as verified. In addition, non-commercial operators emitting less than 1'000 tonnes CO2 per year are out new exempted from the ETS. This will allow 2'200 non-commercial emitters to opt out.

This vote finally gives regulatory certainty to aircraft operators. Please feel free to contact the Secretariat for any further clarification needed.