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Cost Impacts of the EU Emissions Trading Scheme on Aviation in the Time Period 2012 - 2020

Schaefer, Martin and Grimme, Wolfgang and Maertens, Sven (2013) Cost Impacts of the EU Emissions Trading Scheme on Aviation in the Time Period 2012 - 2020. Annual Transportation Research Forum 2013, 21.-23. März 2013, Annapolis, USA. (Unpublished)

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Since January 2012, international aviation has been included in the emissions trading scheme of the European Union (EU ETS), in accordance with EU Directive 2009/29 EC. From this year up to (at least) 2020, all flights starting from or landing at European airports are subject to the EU ETS, apart from a few exemptions. In 2012, the CO2 emission target for aviation is 97 per cent of the historical emissions of the years 2004-2006. From 2013 onwards, this reduction target will be lowered by another 2 per cent. In September 2010, the ICAO Assembly agreed to an exemption clause for market-based measures which could be applied to the EU ETS. Whether this should be the case is a controversial issue on the international political level. Model-based empirical estimations presented in this study indicate significant impacts of the EU ETS on airline costs, airfares and competition within the airline sector: in the year 2020, more than 50 per cent of the required allowances will have to be purchased by the airlines. Assuming an allowance price of 20 € per tonne of CO2, the resulting costs for the aviation sector will amount to about 20,502 million € in 2012-2020. In addition, competitive distortions can be expected if the ICAO exemption clause is introduced to the EU ETS.

Document Type:Conference or Workshop Item (Speech)
Title:Cost Impacts of the EU Emissions Trading Scheme on Aviation in the Time Period 2012 - 2020
AuthorsInstitution or Email of Authors
Schaefer, MartinDLR-AT
Grimme, WolfgangDLR-FW
Maertens, SvenDLR-FW
Date:23 March 2013
Refereed publication:Yes
Keywords:EU Emissionshandel für den Luftverkehr, Luftverkehrsemissionen, Wettbewerb unter Fluggesellschaften, Umweltökonomie, Klimaschutzpolitik
Event Title:Annual Transportation Research Forum 2013
Event Location:Annapolis, USA
Event Type:international Conference
Event Dates:21.-23. März 2013
Organizer:Transportation Research Forum (TRF)
HGF - Research field:Aeronautics, Space and Transport
HGF - Program:Transport
HGF - Program Themes:Transport System
DLR - Research area:Transport
DLR - Program:V VS - Verkehrssystem
DLR - Research theme (Project):V - Projekt Verkehrsentwicklung und Umwelt
Location: Köln-Porz
Institutes and Institutions:Flughafenwesen und Luftverkehr > Luftverkehrsforschung
Institute of Propulsion Technology
Deposited By: Janina Scheelhaase
Deposited On:02 Oct 2013 10:03
Last Modified:14 Oct 2013 14:20

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