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Airlines don't like ETS
Published in Al-Ahram Weekly on 28 - 10 - 2010

IATA Director-General Giovanni asked Arab airlines to push their governments to formalise opposition against Europe's emission trade scheme
Addressing the AACO AGM in Cairo, IATA's highlighted the significant progress in aviation infrastructure in Egypt. "In the last decade, Egyptian aviation has been completely transformed with the commitment and vision of Civil Aviation Minister Ahmad Shafiq and the Egyptian government. We have seen effective aviation policies and impressive infrastructure developments. EgyptAir increased its competitiveness as a strong player in the global industry."
He also highlighted the cooperation between IATA and AACO on many issues including environment and fuel, user charges. IATA and AACO signed an extension of the training agreement they already have.
In a closed press briefing session, , expressed his belief that Europe's emission trade scheme (ETS) would not have a chance to succeed if governments take a united stand in opposition. "I appreciate the strong support of AACO carriers for aviation's ambitious environmental targets. Together with manufacturers, airports and air navigation service providers, the industry is committed to improve fuel efficiency by an average of 1.5 per cent per year to 2020, capping emissions from 2020 with carbon-neutral growth and cutting emissions in half by 2050 compared to 2005. No other industry has made similar global commitments or has such a credible track record."
Last year, airlines emitted 625 million tonnes of CO2. Since 2004, IATA programmes helped save 76 million tonnes of CO2 emissions. MENA carriers are making important contributions. An average fleet age of 11 years compared to a global average of 13 years is contributing to improved fuel efficiency. Egyptair and Qatar Airways are joining IATA's industry carbon offset programme.
Replying to a question over how IATA can defend its member airlines against the European Union ETS, said: "We are on solid ground to challenge ETS implementation particularly alongside other environmental taxes. At least 120 countries formally recorded their opposition to Europe's plans at the last ICAO Assembly," he explained.
"The challenges of these governments must be joined by those of their airlines. If you have not done so already, you should write to register your opposition and ask your government to formalise its opposition directly with Europe," he added.
"MENA is growing. Over the last decade its carriers went from 5 per cent of global passenger traffic to 11 per cent. Planned purchases of $200 billion in aircraft over the next decade will continue to support growth." Yet, warned that the Middle East's profit will fall back from $400 million in 2010 to $300 million in 2011.
specified five main challenges to MENA aviation industry: safety, infrastructure, Simplifying the Business, government involvement and environment.
"You have concerns in MENA. You had no Western-built jet hull losses in 2006. But in 2009, this jumped to 3.32 accidents per million flights, 4.6 times worse than the global average," explained.
He indicated that MENA's infrastructure record was impressive, but remained conservative about military airspace. "Cairo's new terminal is a good example of $100 billion being spent on airport infrastructure which also includes at least eight new runways in the Gulf area. But military airspace is a big obstacle with over 60 per cent of the airspace in the Gulf area restricted for civilian aircraft."


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