Friday, January 05, 2007

Labour targets airlines over carbon emissions

Minister warns companies he says are not taking climate change seriously Patrick Wintour, political editorFriday January 5, 2007The Guardian Environment minister Ian Pearson has branded Ryanair 'the irresponsible face of capitalism'. Photograph: Ian Waldie/Getty
The government has launched an outspoken attack on major airlines for refusing to take climate change seriously, branding Ryanair "the irresponsible face of capitalism" and describing the attitude of major American airlines "a disgrace".
Environment minister Ian Pearson also warned that British Airways was "only just about playing ball" in the fight to reduce carbon emissions. His language is strikingly tougher on some in the cheap flights industry than the prime minister's: Tony Blair has appeared extremely reluctant to be seen to be curtailing their growth.


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But the minister is determined to stand up to the intense lobbying by parts of the airline industry, especially its efforts to delay market-based curbs being placed on its emissions.
He is also known to be angry that Lufthansa, the German airline, is opposing curbs even though the German government of Angela Merkel is making the fight against climate change a central issue of its G8 presidency.
Mr Pearson also said he regards the predicted growth in airlines' carbon emissions such a threat to the government's plans to cut emissions by 60% by 2050 that he still wants the European Union to go further - and faster - to include airline emissions in its trading scheme.
Just before Christmas, the EU proposed including all flights within Europe in the carbon trading scheme from 2011 then, a year later, expanding the scope to cover all international flights that arrive at or depart from an EU airport. Foreign airlines from outside the EU would also be included.
The scheme is projected to increase the cost of every transatlantic flight by around £25 a passenger, depending on how much individual airlines would have to pay for extra carbon allowances.
The EU says the proposals will constrain growth in carbon emissions. But Ryanair's chief executive, Michael O'Leary, has vowed to boycott the scheme, dismissing the proposal as "just another tax", while the big American international operators are threatening lawsuits to prevent the inclusion of US flights in and out of Europe.
In surprisingly tough language, Mr Pearson described Mr O'Leary's attitude as "just completely off the wall. When it comes to climate change, Ryanair are not just the unacceptable face of capitalism, they are the irresponsible face of capitalism. O'Leary just seems to take pride in refusing to recognise that climate change is a genuine problem". He also said the attitude of the American airline industry was disgraceful and needed to change: "They just seem to be saying they don't want anything to do with the trading scheme, and that they will take the EU to court if transatlantic flights are included. It is completely irresponsible.
"Even British Airways are only just playing ball. They say they are happy with a trading scheme that is confined to flights within Europe, rather than one that includes all flights departing the EU."
He added: "Like every other industry, the airline industry has to got to take its share of responsibility for combating climate change and the European Union's proposals is the vehicle by which they can do just that."
Mr Pearson held talks with British Airways before Christmas to urge it to recognise that transatlantic flights had to be included to make the scheme credible. Limiting the scheme to intra-EU flights would only capture 20% of EU aviation carbon emissions.
The EU has estimated that a passenger flying from London to New York and back generates roughly the same level of emissions as the average person in the EU does by heating their home for a year.
Forecasts suggest aviation could account for up to a quarter of the UK's contribution to global warming by 2030.
Mr Pearson is also looking to bring the British airline industry on board for a voluntary industry-wide carbon offsetting scheme. At present individual airlines run often poorly advertised and poorly designed offsetting schemes.
Many in the airline industry argue that only intra-EU flights should be included on competitive grounds. They say a possibly voluntary worldwide agreement should be negotiated at the level of the International Civil Aviation Organisation. But the EU, and many environmentalists, regard this argument as a recipe for US delay and say it reflects the US government's scepticism about the science of climate change.
Mr Pearson said it was very difficult to predict by how much the cost of flights would rise as a result of aviation's inclusion in an EU trading scheme since different assumptions can be made about the price of carbon and the terms on which allowances are given.
Mr O'Leary, the particular source of Mr Pearson's anger, has gone out of his way to upset the environmental lobby, saying his company is planning to increase its carbon emissions as it expands. He has dismissed a recent report by the Treasury's chief economist, Sir Nicholas Stern, saying: "A lot of lies and misinformation has been put about by eco nuts on the back of a report by an idiot economist."
Mr O'Leary defends his airline, saying it is the most popular European carrier. "Aviation is neither the cause of global warming nor the solution. Taxes won't reduce emissions," he has said.
Yesterday a Ryanair spokesman said: "Mr Pearson is sadly misinformed. Ryanair has spent over $10bn on a fleet of fuel-efficient engines which have reduced fuel burn by 45% and cut CO2 emissions by 50% per passenger, making Ryanair Europe's greenest airline."
Mr O'Leary claims his new, more fuel-efficient engines produce 50% fewer emissions per seat and 45% less fuel burn than long haul, flag-carrying airlines with ageing fleets.
He claims coal-fired and oil-fired power stations are the biggest contributor to climate change.
But the European commission says 46% of the expected growth in aviation emissions - 183 tonnes of CO2 a year - would be saved if its plan was implemented in full.Special reportThe airline industryUseful linksList of airlines banned from UK airspaceAmerican AirlinesUnited AirlinesBritish AirwaysBMIEasyJetRyanairVirgin AtlanticBoeingAirbusInternational Air Transport Association

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