Russia could ban airlines from carbon trading in protest at EU scheme
By RTCC Staff
Russia could become the next country to ban its airlines from taking part in carbon trading in retaliation against the EU trading scheme which it says is unfair.
As of January 1 this year all flights landing or taking off from EU airports are liable for their carbon emissions. The so-called “coalition of the unwilling”, which includes Russia, India, China and the US, is meeting in Moscow to discuss its position.
“The Russian government is now reviewing a bill prohibiting Russian airlines to participate in emission trading, it means considering a retaliatory approach,” Aeroflot told Reuters.
“We are facing a new initiative by the EU that may trigger real ‘trade wars’ and cause damage to the world airline industry at one of its most critical stages,” the airline said.
Opposition from within the industry has called for an international approach to carbon trading managed through the UN’s International Civil Aviation Organisation (ICAO).
Aeroflot estimated that the legislation would cost them $1.05bn by 2025. Its gross revenues last year were $2.4bn.
Airlines will initially only have to pay for 15% of the carbon they emit, with the figure rising over time.