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Kirsty McGregor: January 2012 Archives

So you'd rather not pay the carbon emissions tax?

By
Kirsty McGregor
 on January 31, 2012 5:07 PM | | Comments (0) | TrackBacks (0)
Rex Features.jpg
Ah, the phrase "equivalent measures". It pops up whenever people start arguing about - sorry, discussing - the EU's Emissions Trading System (EU ETS). Those airlines to put in place equivalent measures would be exempt from the carbon emissions tax. But what does that actually mean?

The EU ETS directive deliberately, and understandably, avoids going into any detail. But, as Adam Riedel, associate director of the Centre for Climate Change Law, points out, it doesn't even set out a process whereby a non-EU state can formally qualify its airlines for an exemption. Non-EU nations are left to ponder what would work. A similar cap-and-trade scheme or other, market-based system? The large-scale production and use of biofuels? 

In China, civil aviation authorities are apparently looking at cutting emissions by 20-22% by 2020. "We are looking at this as a possible equivalent measure, but it's still too early to say," said Isaac Valero-Ladron, spokesperson for the European Commission. However, there are doubts about whether an efficiency measure like this, i.e. not a cap, could be found equivalent to the EU ETS.  

'Superior efforts'

Towards the beginning of last year, Nancy Young, Airlines for America's (A4A) vice president for environmental affairs, struck out at the EU ETS. She claimed US airlines had been improving fuel efficiency for decades, as well as looking into using alternative fuels. "We believe our efforts are superior to the EU approach," she was quoted as saying by The NY Times. But, again, it seems unlikely this would qualify as an equivalent measure. 

A researcher for the Center for Climate Change Law suggests that "a plan that sets a cap comparable to that imposed by the EU, but that gives away all allowances (rather than just 85%, as in Europe) could achieve 'equivalent' reductions while saving the airlines money relative to the EU plan's baseline". 

Whatever airlines go for, any exemption would require approval of EU member state representatives.

New company set up to produce whisky biofuel

By
Kirsty McGregor
 on January 30, 2012 4:51 PM | | Comments (0) | TrackBacks (0)
Biobutanol, Celtic Renewables.jpg

Edinburgh Napier University has formed a spin-off company in the hopes of commercialising production of biofuel made from whisky by-products. Celtic Renewables is concentrating on producing the biofuel, called Biobutinol, to run cars for the moment, but researchers at the university have claimed in the past that it could also be used to fuel aircraft.

How to comply with the EU ETS in 2012

By
Kirsty McGregor
 on January 23, 2012 10:09 AM | | Comments (0) | TrackBacks (0)
CO2 protest, Jonathan Hordle_Rex Features.jpg
The furore over the European Union's Emissions Trading System (EU ETS) is unlikely to abate any time soon. In the meantime, airlines have to comply with the legislation. Here's a quick round up of what airline operators will be expected to do between now and April 2013, brought to you by law firm Holman Fenwick Willan (HFW):

Operators should already have submitted their emissions monitoring plan for approval and monitored emissions data for 2010 and 2011. Moving forward, they should:

1. Prepare their 2011 emissions report, arrange for it to be verified by an auditor and submit to the relevant authority by 31 March 2012. 

2. Apply for a registry account, through which they will be able buy or sell CO2 allowances.

3. Monitor emissions in accordance with their approved monitoring plan throughout 2012.

4. Procure additional allowances from other EU ETS participants at auction or by purchasing allowance (CERs and ERUs) to cover any shortfall not covered by free allocation.

5. Surrender allowances equal to their total verified emissions for 2012 by 31 April 2013.



Photo by Jonathan Hordle/Rex Features

Real reason behind the Thames Estuary consultation?

By
Kirsty McGregor
 on January 19, 2012 12:33 PM | | Comments (0) | TrackBacks (0)
Thames Estuary.jpg
Illustrated preview of the Thames Estuary hub, from thamesestuaryairport.com

Environmentalists are somewhat hacked off at Boris Johnson's revelation on Radio 4 yesterday that the government is "increasingly interested" in the idea of building a new hub airport in the UK's Thames Estuary, a move they say would increase CO2 and generate new noise problems.

Yet, as Kerry pointed out on The Green Wing in November, it's unlikely the £20 billion ($32 billion), four-runway airport will ever see the light of day, given that the government previously refused the building of a third runway at Heathrow on environmental grounds. The Aviation Environment Federation (AEF) also notes that a new estuary airport may struggle to attract sufficient traffic to be economically viable, and would likely depend on government intervention. 

So why launch a consultation?

Well, there's a rumour going round that ministers don't ever expect the hub to be built. But if people dismiss the proposal as too expensive/environmentally unfriendly, it would throw a comparatively flattering light on Heathrow's proposals. I don't know if this is true, but in these situations I like to imagine what Emilio in Mr Deeds would say. Sneaky sneaky sir...

US vows to expand use of biofuels in aviation

By
Kirsty McGregor
 on January 17, 2012 4:16 PM | | Comments (0) | TrackBacks (0)
Florida oranges, KPA_ Zuma_Rex Features.jpgVilsack: Florida's citrus waste could be used for aviation biofuel

US agriculture secretary Tom Vilsack vowed yesterday to support and expand America's use of biofuels in aviation, days after German carrier Lufthansa operated its first biofuel-powered transatlantic commercial flight.

At a roundtable event held at Boeing's headquarters in Chicago, also attended by people from Honeywell and United Airlines, Vilsack said it made "a lot more sense to buy [fuel] from the farmer down the road," rather than rely on overseas markets.

The US Department of Agriculture (USDA) has invested more than $80m in aviation biofuel research and, jointly with the Department of Energy and US Navy, plans to invest a further $510m over the next three years.

According to the Chicago Tribune, Vilsack said on Monday that he envisioned Florida biofuel refineries using citrus waste, Pacific Northwest units processing woody biomass waste from forestry and facilities in the Northeast processing native grasses "and other things that grow in abundance and have little value".

Photo by  KPA/Zuma/Rex Features

Reaction to the EU Emissions Trading System

By
Kirsty McGregor
 on January 9, 2012 4:00 PM | | Comments (0) | TrackBacks (0)
Tensions continue to rise over the European Union 's decision to include aviation in its Emissions Trading System (EU ETS), with some governments threatening to boycott the carbon emissions tax altogether. Here is a run down of how the row has played out over the last few weeks:

Senator John Thune, NBCUPHOTOBANK_Rex Features.jpg
7 Dec 2010 - Senator John Thune (pictured) proposes legislation that would ban American carriers from participation in the ETS - in violation of EU law. 

20 Dec - The US Department of Transportation announces it is formally seeking data from both US and European carriers to bolster its argument that the ETS is illegal.


1 Jan 2012 - Airlines operating flights within Europe become subject to the EU ETS. They will be expected to surrender allowances for their 2012 carbon emissions in April 2013.


4 Jan - Delta reveals it has introduced a $3 surcharge on European flights, effective as of 2 January. Its spokesperson refuses to confirm that this is to directly offset the cost of the ETS. 

Chinese airlines announce they are not going to comply with the ETS. The European Commission responds by pointing out that an operating ban could be imposed on any airline to persistently break EU law.

5 Jan - United  introduces a $3 surcharge on European flights.

6 Jan - American Airlines and US Airways confirm similar surcharges. 

Airbus secures an order for 10 A380s from Hong Kong Airlines, despite China's threat to derail the order in protest at the ETS.

9 Jan - An OAG report forecasts two scenarios: either passenger fares will rise by an average of 3% or airlines will use non-EU points as intermediate stops to avoid the additional costs.

Photo by NBCUPHOTOBANK/Rex Features 
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