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Posted on: January 18th, 2012 by Jen Davies
There are some airlines, like the ones in the United States, China, and India, that are simply refusing to take part in the European Union’s Emissions Trading Scheme (ETS). However, there are some airlines that are jumping on board with it. In fact, a number of airlines have already started to purchase permits that they can use to fly into union airspace. Not only that, but the airlines that are buying these permits are getting them cheap.
Airlines in China and the United States, on the other hand, want to continue the good fight. They want to continue to battle this scheme although the highest level of court in the European Union has already said that they do not find this scheme in violation of any international laws.
As of January 1, all airlines that want to fly in or take off out of European Union airspace have to give permits for the amount of emissions they give off for the whole flight. Thus, airlines have joined the some 10,000 manufacturers and power plants that have already been under this scheme for sometime now.
All the airlines that land or take off from one of the 27 member states have to cover their emissions with permits. The emissions cap for this year has been set at 215 million tonnes. A 183 million allowance will be given to the airlines for free. Airlines will have to purchase the remaining slips at auction.
Airlines like Air France, Lufthansa, and others have been purchasing permits, or at least they plan to do so. Lufthansa said that it will buy 35 percent of the permits it needs at open market this year. It will be passing on the bill for buying these permits onto consumers.