Monday, March 19, 2012

India to urge airlines to opt out of EU carbon scheme

New Delhi: India will urge its airlines not to take part in the European Union Emissions Trading Scheme (ETS), a senior official said, the latest salvo in an escalating row over an EU law requiring all flights in and out of Europe to pay for their emissions.
China in February said its airlines were barred from participating in the scheme unless they get government approval to do so. Beijing has also suspended the purchase of $14 billion worth of planes for Europe's Airbus due to the dispute.
India does not yet plan to ask airlines to cancel Airbus purchases, but that is a possibility if the dispute escalates, the Indian official said.
The official, with direct knowledge of talks between the EU and other countries on the issue, told Reuters that India would soon ask local airlines not to share emissions data with the bloc or buy any carbon credits.
If the European Commission retaliated by suspending Indian airlines from flying to Europe, India would make similar moves and consider charging an "unreasonable" amount for flying over India, the official said on Monday.
20/03/12 Reuters/Business Standard
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