Monday, March 7, 2011

The European Union has told airlines flying to European airports to trim their carbon emissions by 3% from their historic average.

Beginning next January, airlines fall under Europe's cap and trade scheme. Each carrier is allocated permits to emit a set amount of carbon dioxide. They can buy extra credits if they exceed that limit, or sell credits if they emit less.

The European Commission, the EU's executive, took the first step Monday by setting the 2012 cap at 212.9 million tons of CO2 divided among some 4,000 operators, about 3% less than the annual average emitted in 2004-2006.

The commission said the effect on ticket prices "will probably be minor."

U.S. airlines are challenging the legality of the EU's action.