13 Aug '11, 12am

Will Europe's Move to Tax Airlines' CO2 Emissions Spark a Global Trade War?

Here's some background: On the first of January next year, the airline industry will be forced to join the EU's carbon trading system (the Emissions Trading Scheme, or ETS). Most other polluting industries already must participate. The controversy arises here: (via the GlobalPost ) Prepare for extreme turbulence between the European Union and the rest of the world. Not usually accused of being unilateralist and unwilling to negotiate, the EU has sparked what is shaping up to be the next big international trade dispute ... Other governments have blasted the EU's go-it-alone approach. Airlines have consistently resisted being included in the ETS as the system has evolved. Now that it's due for implementation, many non-EU governments have rejected the plan, most vocally the United States, China, India and Russia. Their main complaints: The EU is asserting the right to assess ...

Full article: http://www.treehugger.com/files/2011/08/tax-airline-co2-e...

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