Impacts of the proposed EU-emission trading scheme on aviation : the good, the bad and the ugly
Type
conference paper
Date Issued
2010-09-12
Author(s)
Abstract
From 2012 on, all emissions from flights departing from or arriving at airports within the European Union will be covered under an Emissions Trading Scheme (ETS). Based on a simulation model and building on the now fixed system design, this research analyzes the economic and ecologic impacts of the ETS for the Lufthansa Group. The results show that while ecological effects are rather modest in the in the first years after the system introduction, the ETS will evoke much higher emis-sion reductions in the mid- and long-term. Notwithstanding, these ecological benefits come at the expense of increased financial burdens. The paper argues that the system will evoke a variety of strategic and operational implications at airlines in fields such as such as environmental monitoring, financial risk management, and marketing. Furthermore, the results indicate that the ETS is likely to cause competitive distortions and favor the redirection of traffic flows, leading to higher emissions and partly foiling the goals of the system
Language
English
Keywords
Emissions trading
Environmental & corporate strategy
Climate change
Transport and the environment
Quantitative research in transportation
HSG Classification
contribution to scientific community
Refereed
Yes
Book title
Tourism Development after the Crisis
Publisher
AIEST International Association of Scientific Experts in Tourism
Publisher place
St. Gallen
Event Title
60th International Asociation of Scientific Experts in Tourism (AIEST) Congress
Event Location
Potchefstroom, South Africa
Event Date
12.-16.09.2010
Subject(s)
Division(s)
Eprints ID
77023