Isra-Mart srl: Number of Aviation Allowances Under EU ETS Published

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In another development on Emissions Trading, the European Commission has recently published the number of aviation allowances under the scheme, including those to be allocated free of charge, those to be auctioned and the number of allowances in the special reserve for every year to 2020.

The total quantity of aviation allowances to be allocated for aviation (the cap) in 2012 will be equal to 97% of the EEA-wide historical aviation emissions. For each subsequent year in the period during 2013-2020 this percentage will be reduced to 95%.

The Directive 2008/101/EC determined that in 2012, 85% of the allowances will be given for free to aircraft operators and 15% of the allowances will be allocated by auctioning. In the trading period of 2013-2020, 82% of the allowances will be given for free to aircraft operators, 15% of the CO2 allowances will be allocated by auctioning and the remaining 3% will remain in a special reserve for later distribution to fast growing airlines and new entrants into the market.

The EC publication of the figures for the aviation allowances can be found in its decision which is available on the EC website.

A brief summary of the figures published is:

* Total number of aviation allowances (the cap 97%) for 2012 is 212,892,053
* Total number of aviation allowances for each year from 2013 (the cap 95%) is 208,502,526
* Total number of allowances to be auctioned in 2012 (15%) is 31,933,808
* Total number of allowances to be auctioned in subsequent years (15% per year) is 31,275,379
* Total number of allowances for special reserve applicable each year from 2013 is 50,040,608
* Total number of allowances to be allocated free of charge in 2012 is 180,958,245
* Total number of allowances to be allocated free of charge for 2013 onwards is 170,972,071

By 30 September the EC will publish the benchmarks used to allocate allowances free of charge to aircraft operators. By the end of the year (31 Dec 2011) a further publication will be made determining the number of allowances that each operator will receive for free.

Should members require any further information please do not hesitate to contact Lorna Reader, Manager Industry Affairs.