ETS Exemption Deal Rejected by Parliament's Environment Committee

A deal to exempt intercontinental flights from regulation under the European Union’s Emissions Trading System (EU-ETS) until the end of 2016 failed March 19 in the European Parliament’s Environment Committee. This could be an indication of whether the proposed exemption can win enough support when the measure goes before the full EU Parliament early next month. If the measure fails, tensions may be reignited between the EU and major opponents of the inclusion of non-EU airlines, such as the United States, China, Russia, and India.  

As this issues progresses, please check back to this blog for future posts.

House Passes European Union Emissions Trading Scheme Prohibition Act

By a consent vote last Thursday, October 20, 2011 and after less than an hour of debate, the United States House of Representatives approved H.R. 2594, the “European Union Emissions Trading Scheme Prohibition Act.” If this bill is passed by the Senate and signed by President Obama, it would force the Department of Transportation to bar U.S. airline operators from complying with the European Union’s Emissions Trading Scheme. As previously posted, the carbon trading scheme has drawn criticism from many countries that question its compliance with international laws and agreements.       

For more details, please see the articles at LAW360 or Bloomberg Business Week. The text of H.R 2594 can be found at the Library of Congress. As this issue progresses, please check back to this blog for future posts.