Skip to comments.EU set to charge U.S. airlines for carbon tax
Posted on 07/29/2011 11:43:19 AM PDT by Beaten Valve
An edict from the European Union (EU) focused on emissions reduction is drawing the ire of the United States Congress and the air cargo industry.
Under its so-called Emissions Trading Scheme (ETS), the EU is calling all airlines to pay taxes to the EU as part of a cap and trade for carbon allowances in an effort to reduce air emissions created as a result of their flights in EU airspace.
The EU ETS was created in 2005. According to the EU, the ETS places a capor limiton the total amount of certain greenhouse gases that can be emitted by the factories, power plants and other installations in the system. Within this cap, companies receive emission allowances which they can sell to or buy from one another as needed. This is scheduled to take effect for the airline industry on January 1, 2012.
The United States House and Transportation Infrastructure Committee made its opposition to the ETS clear, explaining it has no intention of participating in this program.
This appropriately named EU scheme is an arbitrary and unjust violation of international law that disadvantages U.S. air carriers and kills U.S. aviation jobs, said House Transportation and Infrastructure (T&I) Committee Chairman John L. Mica (R-FL) in a statement. The message from Congress and the U.S. government is loud and clear: the United States will not participate in this ill-advised and illegal EU program.
The House T&I Committee this week introduced legislationH.R. 2954, the European Union Emissions Trading Scheme Prohibition Act of 2011that it said directs the Secretary of Transportation to prohibit U.S. aircraft to operators from participating in the EUS ETS. They added that the bill also instructs U.S. officials to negotiate or take any action necessary to ensure U.S. aviation operators are not penalized by any unilaterally imposed EU emissions trading scheme.
Under the ETS, the T&I Committee said that there is no requirement that generated revenue would even be put toward researching and developing technology to improve emissions.
Officials from The Air Transport Association of America said that the ETS could cost the U.S. airline industry more than $3 billion through 2020, capital, which it said could support more than 39,200 U.S. airline jobs, with costs potentially doubling if the costs of carbon allowances continue to rise, which they have in recent years.
The EU ETS violates international law, including the sovereignty of the United States and imposes an illegal, exorbitant and counterproductive tax on U.S. citizens, diverting U.S. dollars and threatening thousands upon thousands of jobs, said ATA Vice President, Environmental Affairs Nancy Young in testimony before the House Transportation and Infrastructure Subcommittee on Aviation. Working with industry, continued U.S. Government opposition is crucial to bringing the EU back to the global negotiating table.
The organization said that U.S. airlines have made tremendous strides in improving fuel efficiency and greenhouse gas reductions through billions of dollars in investments in things like fuel-saving aircrafts and engines, among other efforts. And it noted that the U.S. airlines industry has improved its fuel efficiency by 110 percent between 1978 and 2009, which equates to the carbon dioxide savings of removing 19 million cars from the road per year. Whats more, it said that the airline industry is responsible for 2 percent of all U.S. GHG emissions.
According to a New York Times report, under the EU ETS, all airlines flying into airports within the EU will have to reduce their emissions in 2012 by 3 percent from average levels between 2004 and 2006 or buy carbon permits to make up the difference.
In Europe, were trying to do something with climate change and we now have emissions targets for sector after sector, said Connie Hedegaard, the European Unions commissioner for climate action, in the NYT report. We now include power producers, we now include manufacturing, so how can we not include aviation?
It is clear that U.S.-based air cargo shippers are not receptive to the EU ETS either.
National Industrial Transportation League President Bruce Carlton told LM U.S. trading partners are not allowed to discriminate on the basis of flag country flag or registration.
If everybody, including the EU carriers, were being covered, there might be more of a basis or at least a legal basis for this, he said. On its face, this would appear to be a discriminatory tax, which is dealt with in the World Trade Organization structure. Regional schemes do not work. In international trade, these schemes are going to be bound up with all sorts of problems.
Scheme is right.
Have on fear. 0bama will save the day and commit the airlines to the ETS via executive order.
Pull every military facility we have in Europe out and that should more than cover the cost of this asinine tax on "fake" concern.
I guess it boils down to who needs what the most. Do we need to EU business or does the EU need what those planes carry more? I say: Piss on ‘em. Let’s see who blinks first.
That's exactly what EU elites want us to do. Instead, our military should march on Brussels and Berlin to arrest these carbon-taxers.
Pull every military facility we have in Europe out and that should more than cover the cost of this asinine tax on "fake" concern
I'm sure that using the word "scheme" probably violates some kind of US law.
Get 'ol Sheila Jackson whats-her-name to subponea some of this Euro-Trash and bring 'em before Congress.
At least then she'll be doing something productive...
How ‘bout we tell them to take it out of our U.N. dues?
Then tell them we quit the U.N. as a cost cutting measure.
No problem, we don’t have to fly over there either.
What good is a scam that can’t make money for the scammers?
For years, the rest of the world has hated the fact that the US, more than any other country, tried to get its laws to apply to foreigners. The US securities laws, the Foreign Corrupt Practices Act, even some tax laws. Now the shoe is on the other foot and we don’t like it. I’m not saying this carbon tax is right — I think its nonsense — but we don’t have much credibility to complain.
Simple. Cancel all EU airlines US landing rights unless they drop this. If they don’t and reciprocate, fine, we’ll then see who can hold out the longest.
Exactly! We have to quit trying to be the world’s policeman. Those bastards in Europe go around clucking about how much better they are that we are. But they are content to let us spend our tax dollars to defend them. It’s time we pulled out of Europe, and if they don’t want our commerce without taxing our transportation, piss on them!
Just to illustrate how seriously the eurotrash take their own efforts, and how deeply they think about them:
Connie Hedegaard, "commissioner for climate action" has a degree in literature and history and worked as a talk radio host in Denmark before becoming an instant expert on the environment, with absolutely zero qualifications. She is what eurotrash call a "public intellectual," which appears to mean she must have screwed the right bureaucrats in Brussels.
So by simply paying a tax, you can reduce air emissions? LOL!!!
Compare transatlantic fares, say American Airlines vs British Airways even today.
BA usually has a lower fare but the taxes change that. I priced an internal european trip on a budget airline, Munich to Rome, the fare was $15 dollars, the taxes around $250-$300 !!
Tourism is already down, forcing up airfares will just drive it lower.
I am happy to see that this response is already in the works. But that law should be amended, if it hasn't a;ready been.
There should be a U.S. Carbon tax attached, applicable specifically to the European Union Airlines, at twice the rate of the E.U. Tax. The amounts collected to be placed into an UNTOUCHABLE account (that means it can't be spent or transfered to the general fund, for the retards in Congress.) and which would be refunded, minus 10% for processing costs, and minus the amounts paid by U.S. based airlines as a refund.
The net result of the law would be to make the U.S. airlines whole again. On the repeal of this imaginary problem-solving E.U. Tax, any moneys left over would be refunded to the E.U., minus the 10% processing costs.
I wonder if these Euroweenies will try to collect all that carbon emissions tax for all those bombers, fighters, Jeeps, tanks, ammo/supply trucks we inflicted on them during ‘41 to ‘45?
Then there was that AWFUL 24/7 supply operation we called the Berlin Airlift and, I’m sure, many of them now refer to the Unlawful American Incursion into Our Sacred Airspace.
Add the rent for all those marble orchards in Normandy and elsewhere over there and I suspect, with interest, we owe them GAZILLIONS.
I say let’s wait to pay them until we start circulating the Gazillion Dollar bill slated to replace the One Dollar bill next month.
Oh yes, one more suggestion: Next time some of these a-holes need guys with guns and tanks and airplanes to help repel some invading neighbor, call the UN. With any luck, by then they’ll be located — fittingly — in a remodeled “massage parlor” in Amsterdam so it will be a local call.
Hmmmm... will they make that retroactive to the massive, daily U.S. arilift deliveries at Templehoff during the standoff with the Soviets???
Knowing this crop of weenies, YES! How DARE the US defy the peace-loving Sovs like that?