Isra-Mart srl: Allocation of aviation allowances in an EEA-wide Emissions Trading System

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The total quantity of allowances to be allocated to aircraft operators is determined based on the "historical" CO2 emissions from the aviation sector (average of the annual emissions from years 2004, 2005 and 2006). The total quantity of allowances to be allocated in 2012 will be equal to 97% of the EEA-wide estimated historical aviation emissions. In the period 2013-2020 this percentage will be reduced to 95% of the EEA-wide estimated historical aviation emissions.

Historical aviation emissions

The EU-wide historical aviation emissions were established by the European Commission in its decision of 7 March 2011. In addition, the historical emissions figure related to the extension of the aviation part of the EU ETS to two EEA-EFTA countries (Iceland and Norway) has been calculated. It has been added to the figure for EU-27 in order to set the EEA-wide historical aviation emissions.

The decision on the EEA-wide historical aviation emissions adopted on 1 July 2011 serves as the basis to calculate the EEA-wide cap for aviation, which is now set at 221 420 279 tonnes of CO2. This figure represents the average of the annual emissions for the years 2004, 2005 and 2006 of all activities covered by the scope of the legislation.

The calculation of historical aviation emissions is based on data from Eurocontrol (the European Organisation for the Safety of Air Navigation) and actual fuel consumption information provided by aircraft operators. Additional calculations were carried out to account for fuel consumption associated with the use of the auxiliary power units (APUs) on aircraft at airports.

All legislative documents as well as the methodology describing the calculation of historical aviation emissions are available under the "Documentation" tab on top of this page.
Total quantity of allowances allocated to aviation sector

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

The Directive 2008/101/EC foresees 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 2013-2020, 82% of the allowances will be granted for free to aircraft operators, 15% of the CO2 allowances will be assigned 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.

On 30 June 2011 the Commission adopted a decision on the quantity of allowances to be allocated to aircraft operators free of charge, to be auctioned and the number of allowances in the special reserve. The decision covers two trading periods: 2012 and 2013-2020.