At the ILA Berlin air show this week, the ministers of Spain, France, Germany and the U.K. who are responsible for their countries' interest in Airbus issued a joint statement calling for ways to implement the transition from a European to a global system, favoring a global emissions trading system to replace the EU's Emissions Trading System (ETS).
The group believes the ramifications of the EU's inclusion of airlines in ETA are serious, yet they are optimistic that a compromise can be found. A joint statement released by the ministers presses for a diplomatic solution that avoids more severe trade sanctions, calling for a global system negotiated under the umbrella of the International Civil Aviation Organization (ICAO). The next ICAO assembly is scheduled for October 2013 - more than a year away.
While China has been at the forefront of global opposition to ETS, Brazil, India, Russia and the U.S. also take issue with the scheme, citing its extraterritorially nature by applying ETS penalties beyond flights within the EU's airspace.
As reported earlier this summer on HAI's RotorNews, a mysterious "secret hold" was placed on the EU Emissions Trading Scheme bill in the Senate, and that hold continues. While some Democratic leaders have vowed it is not a Democrat holding up the bill, Missouri Senator Claire McCaskill (D), co-author of the bill with Senator John Thune (R-S.D.), says she believes "it's people on my side, but I don't know specifically who it is. But we do want to find out." McCaskill plans to take advantage of a new Senate rule that requires holders to identify themselves 48 hours after a bill has been called up.
In other European news, Germany's high court this week rejected calls to block Europe's permanent rescue fund, paving the way in a much anticipcated ruling for its ratification by the country's president. The taxpayer-backed fund is crucial to the eurozon's debt crisis resolution efforts because it can loan money to governments that cannot borrow otherwise. Markets have been nervously awaiting the ruling.