Airlines emission tax: Strong global protest against EU

Ashwini PhadnisShishir Sinha Updated - November 15, 2017 at 09:45 PM.

The global community plans to send individual letters to the European Union protesting its decision to implement the Emission Trading Scheme (ETS) on airlines operating to the 27-nation bloc.

Official sources told Business Line that with more than 100 protest notes extending from the US to India landing at its doorsteps, there will be added pressure on the EU to take note and some action taken.

While a clearer picture of the protest plan of the international community will be firmed up in Moscow later this month at a two-day international conference, the various scenarios being examined include asking the EU to include the ETS in the aviation bilateral agreements and also looking at arbitration proceedings.

“The conference could decide to seek arbitration under Article 84 of the International Civil Aviation Organisation (ICAO) charter. Generally when this route is adopted, the parties decide to settle out of court,” a senior Government official said.

Incidentally, the EU had adopted this route to get the US to bend on an aviation-related issue about a decade back, sources pointed out. The other options that could be explored include imposing over-flying charges on European carriers, a move which could see the operating cost of European airlines increase.

> ashphadnis@thehindu.co.in

Published on February 8, 2012 16:45