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US rejects European rules on airline emissions

The US says EU plans for an emissions tax on airlines must be dealt with by the international aviation body, BBC writes
Credit:   Peter Symes
Airlines will be charged on carbon emissions created by flights to and from 27 EU countries from January 1.
BBC News  |  US rejects European Court ruling on airline emissions    |   12-21-2011
Airlines will be charged on carbon emissions created by flights to and from 27 EU countries from January 1.

US tried to block European Union plans to levy the emissions tax, saying they were invalid but the European Court of Justice (ECJ) ruled on Wednesday that they were legal.

Airlines will now be subject to the Emissions Trading System (ETS), used to charge industries such as oil refineries, power stations and steel works for CO2 emissions, as part of Europe's efforts to combat climate change.

The US, Canada and China all object to the plan. The US, Canadian and other carriers argue the charges violate climate change and aviation pacts. Four Chinese airlines oppose the scheme, which they say could cost them 95m euros ($124m, £79m).

American carriers argue that the taxes contravene the Open Skies Agreement, which allows airlines to fly between any EU country and any point in the US.

The EU has made it clear that it will not bow to US pressure following Wednesday's decision.

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