Emissions trading in aviation

Aviation was included in the EU Emissions Trading System in 2012. The emissions trading scheme covers all flights within, from and to the EU. Like the emissions trading covering stationary installations, emissions trading in aviation is also based on tradable emission allowances. Finland has implemented the amendment to the Emissions Trading Directive with the Act on Aviation Emissions Trading (34/2010).

The aviation emissions trading scheme is a semi-open system. This means that airlines can use the emission allowances of stationary installations (EUA) to fulfil their obligations, but stationary installations are not allowed to use aviation emission allowances to fulfil their own obligations under emissions trading legislation.

85 per cent of aviation emission allowances are granted to aircraft operators free of charge in accordance with Community-level benchmarks. The free allocation of allowances is based on the tonne-kilometres of aircraft. The remaining 15 per cent of allowances are auctioned.

In Finland, the statutory duties of public authorities are carried out by the Finnish Transport Safety Agency (Trafi) and the Energy Authority, which is mainly responsible for tasks concerning the Emissions Trading Registry. Trafi is responsible for the allocation, monitoring and reporting of emission allowances available for allocation. The Energy Authority is responsible for the recording and administration of emission allowances and for entering the auction proceeds as income for the government. 

Further information: karoliina.anttonen(at)tem.fi

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