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Air France: EU Emissions Trading Scheme Unfair

air_france.jpgThe French-Dutch Air France-KLM said the terms of the European Union’s Emissions Trading Scheme (ETS) are “discriminatory” and threaten the financial well being of already stressed oil-dependent airline, Reuters reports.

ETS proposals to fight climate would require all airlines using airports in the 27-nation European Union to cap their emissions of greenhouse gases.

Air France-KLM’s deputy chief executive Pierre-Henri Gourgeon said the plan would give a competitive edge to companies with hubs outside Europe, even though, according to the International Air Transport Association, 24 carriers have gone bankrupt since the start of this year.

Proposed U.S. emission-trading legislation could leave airlines with a $9 billion annual bill in carbon costs. EU transport commissioner Jacques Barrot warned in March that U.S. airlines must join the EU emissions trading scheme or an equivalent system in the U.S. or they could face fewer flights to the European Union.

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