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Inclusion in the ETS could bring profits for airlines, concludes BAA research

This paper, commissioned by BAA’s external emissions trading steering group, analyses the financial impact of integration of intra-EU aviation into the EU greenhouse gas emissions trading scheme (EU ETS). 

It concludes that: “a pure trading system with a requirement to submit allowances covering 2.5 to 3 times the emitted tonnes of CO2e is much cheaper for the industry – up to 40 times – than any of the scenarios involving a tax on part or all of the climate damage costs. In the pure trading scenario, the financial impact is almost zero, and in some cases a gain is made.”


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