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Obama Signs Bill to Exempt US Airlines from EU Aviation Carbon Tax

By Charles Kennedy | Thu, 29 November 2012 22:34 | 0

The EU has set a tax on carbon emissions for all aircraft flying into European countries, all part of the Emissions Trading Scheme (ETS). The problem is that Obama has just signed a bill that exempts US airlines from paying that carbon tax.

Specifically the bill gives the US transportation secretary the power to shield US airlines from the tax; an unusual bill, according to Reuters, as it allows US airlines to ignore EU laws.

Clark Stevens, a spokesman from the Whitehouse, explained that “the Obama administration is firmly committed to reducing harmful carbon pollution from civil aviation both domestically and internationally, but, as we have said on many occasions, the application of the EU ETS to non-EU air carriers is the wrong way to achieve that objective.”

He also stated that Obama is focused on finding a global solution to reduce emissions with the UN’s International Civil Aviation Organisation (ICAO).

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Well I suppose that this is kind of acceptable; that Obama has decided to forgo a European solution to concentrate on a global one. However, the ICAO’s ‘global solution’ has already been in the pipeline for over ten years and still no progress has been made. It was for this exact reason that the EU got fed up and decided to take matters into their own hands by creating their own aviation carbon tax.

Connie Hedegaard, the EU’s climate chief, was quick to voice her disapproval at Obama’s actions. She said that immediately after his re-election Obama had admitted that the US had not done enough on climate change. This bill just reinforces that statement, and suggests that the US still has little intention on making any significant contribution.

By. Charles Kennedy of Oilprice.com

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