1. The Way Forward -- US Perspective
Presented by:
Carl Burleson,
Director, Office of Environment
and Energy, FAA
US CAEP Member
Aviation has made substantial progress in reducing emissions over time. For example, as the IPCC report noted, CO2 levels are down 70% from 40 years ago.
However, not unlike noise we still face a challenge. This stems both from:
aviations strong growth
changing expectations of communities around airports
developing, though not precise, science on climate change
and technology limits

2. ICAO’s CHALLENGES
Aviation sector has reduced emissions rates substantially over time
Expected strong future growth of aviation sector must be achieved consistent with…..
Increased concerns about aviation’s contribution to local air quality and climate change.
Technological progress outpaced by growth in emissions

3. ICAO’s Response
Critical that ICAO maintain leadership role in addressing these issues.
Failure to act could lead to:
inconsistent actions by national or local govts.
conflicting actions by other bodies materially affecting aviation
ultimately, constraints on growth
U.S. believes, as w/ noise, it is critical for ICAO to take leadership in this area.
Bui;d on the record of achieve in noise

4. ICAO’s Response To be effective, any market-based policy should
achieve reductions cost effectively;
provide flexibility how/where to reduce emissions; and
result in significant environmental benefits.

5. ICAO’s Response
Emissions trading with other sectors meets these requirements
encourages use of cost-effective technologies
provides flexibility for industry to achieve the lowest cost reductions
allows aviation to grow while meeting its responsibilities to reduce emissions
roughly 40 times less expensive than levies

6. Emissions Trading Emissions trading new tool, but use is growing:
successfully used to reduce SO2 and NOx in the US
can buy and sell sulfur emissions on CBOT
emission trading programs for CO2 planned or underway in UK, EU, Canada (several provinces), Australia, Poland , etc.
mechanisms could be developed to allow developing countries to benefit from participating

7. ICAO Response -- Levies
Emission levies -- charges and taxes
very expensive
uncertain environmental benefits
able to achieve only modest reduction targets
complicated by what to do with revenue raised

8. ICAO Response -- Voluntary Initiatives
Voluntary Initiatives could be an important first step
encourages govt and industry to work as partners
builds capacity and learning by doing (inventorying emissions and reduction opportunities)
provides flexibility in setting goals (total emissions, efficiency improvements, actions) beyond “business as usual”

9. Voluntary Initiatives
Voluntary programs widely used to reduce CO2 emissions
Australia, Netherlands, EU, and US
Avoids confrontation and use of sanctions
Should provide protection to avoid penalizing early action

10. Local Air Quality
Need to examine the effectiveness of existing LTO certification regime and revise as appropriate
Consider a production cut-off for the CAEP 4 NOx standard
Consider more stringent standards for emissions, especially NOx

11. NEXT STEPS Draft Assembly Resolution on market-based measures
critical to direct future work
near-term focus on developing voluntary program
longer-term effort to further develop open emissions trading
need to further study issues related to levies
Approve WG 3 work program related to local air quality