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Airline carbon trading due by 2008


CARBON EMISSIONS trading in the airline industry could be up and running by 2008, climate change minister Elliot Morley told a Labour Party Conference fringe meeting this week.

And it is hoped that this will help Britain get back on track to meet targets set for a 20% cut in carbon emissions by 2020.

'Carbon trading is mainly supported within the industry. British Airways and BMI are behind it, although Ryanair is not, ' he said.

A review of the UK's climate change strategy is under way and will be published in November.

'There will be a range of new measures in here to ensure that we meet our 20% targets, ' said Morley.

The minister ruled out the use of a fuel tax on airlines to be used for environmental mitigation and said that carbon trading was the only realistic option.

'It is ridiculous that at the moment aviation is not included in our targets for carbon reduction, ' said Morley.

'No one country can tax airlines without the agreement of others, but what we can do is bring Europe into a European Union wide carbon trading scheme, ' said Morley.

Carbon trading works by placing limits on the amount of carbon a business can produce. If it undercuts its allowance, it can sell the excess to companies that have exceeded the limits.

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