The impact of the European Union Emissions Trading Scheme on US aviation
We estimate the economic impacts on US airlines that may arise from the inclusion of aviation in the European Union Emissions Trading Scheme from 2012 to 2020. We find that the Scheme would only have a small impact on US airlines and emissions, and that aviation operations would continue to grow. If...
| Main Authors: | , , , , , |
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| Format: | Article |
| Language: | en_US |
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Elsevier B.V.
2014
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| Online Access: | http://hdl.handle.net/1721.1/87114 https://orcid.org/0000-0001-7924-8161 https://orcid.org/0000-0003-3287-0732 |
| _version_ | 1811097846602006528 |
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| author | Malina, Robert McConnachie, Dominic Winchester, Niven Stewart Wollersheim, Christoph Paltsev, Sergey Waitz, Ian A |
| author2 | Massachusetts Institute of Technology. Department of Aeronautics and Astronautics |
| author_facet | Massachusetts Institute of Technology. Department of Aeronautics and Astronautics Malina, Robert McConnachie, Dominic Winchester, Niven Stewart Wollersheim, Christoph Paltsev, Sergey Waitz, Ian A |
| author_sort | Malina, Robert |
| collection | MIT |
| description | We estimate the economic impacts on US airlines that may arise from the inclusion of aviation in the European Union Emissions Trading Scheme from 2012 to 2020. We find that the Scheme would only have a small impact on US airlines and emissions, and that aviation operations would continue to grow. If carriers pass on all additional costs, including the opportunity costs associated with free allowances, to consumers, profits for US carriers will increase. Windfall gains from free allowances may be substantial because, under current allocation rules, airlines would only have to purchase about a third of the required allowances. However, an increase in the proportion of allowances auctioned would reduce windfall gains and profits for US airlines may decline. |
| first_indexed | 2024-09-23T17:05:53Z |
| format | Article |
| id | mit-1721.1/87114 |
| institution | Massachusetts Institute of Technology |
| language | en_US |
| last_indexed | 2024-09-23T17:05:53Z |
| publishDate | 2014 |
| publisher | Elsevier B.V. |
| record_format | dspace |
| spelling | mit-1721.1/871142024-03-23T02:15:31Z The impact of the European Union Emissions Trading Scheme on US aviation Malina, Robert McConnachie, Dominic Winchester, Niven Stewart Wollersheim, Christoph Paltsev, Sergey Waitz, Ian A Massachusetts Institute of Technology. Department of Aeronautics and Astronautics Massachusetts Institute of Technology. Joint Program on the Science & Policy of Global Change Massachusetts Institute of Technology. School of Engineering MIT Energy Initiative Waitz, Ian A. Malina, Robert McConnachie, Dominic Winchester, Niven Stewart Wollersheim, Christoph Paltsev, Sergey Waitz, Ian A. We estimate the economic impacts on US airlines that may arise from the inclusion of aviation in the European Union Emissions Trading Scheme from 2012 to 2020. We find that the Scheme would only have a small impact on US airlines and emissions, and that aviation operations would continue to grow. If carriers pass on all additional costs, including the opportunity costs associated with free allowances, to consumers, profits for US carriers will increase. Windfall gains from free allowances may be substantial because, under current allocation rules, airlines would only have to purchase about a third of the required allowances. However, an increase in the proportion of allowances auctioned would reduce windfall gains and profits for US airlines may decline. United States. Federal Aviation Administration (Office of Environment and Energy under FAA Award Number: 06-C-NE-MIT, Amendment Nos. 018 and 028) United States. Dept. of Energy Erich Becker Foundation 2014-05-23T13:27:27Z 2014-05-23T13:27:27Z 2011-12 Article http://purl.org/eprint/type/JournalArticle 0969-6997 http://hdl.handle.net/1721.1/87114 Malina, Robert, Dominic McConnachie, Niven Winchester, Christoph Wollersheim, Sergey Paltsev, and Ian A. Waitz. "The impact of the European Union Emissions Trading Scheme on US aviation." Journal of Air Transport Management, Volume 19, March 2012, p.36–41. https://orcid.org/0000-0001-7924-8161 https://orcid.org/0000-0003-3287-0732 en_US http://dx.doi.org/10.1016/j.jairtraman.2011.12.004 Journal of Air Transport Management Creative Commons Attribution-Noncommercial-Share Alike http://creativecommons.org/licenses/by-nc-sa/4.0/ application/pdf Elsevier B.V. Prof. Waitz via Barbara Williams |
| spellingShingle | Malina, Robert McConnachie, Dominic Winchester, Niven Stewart Wollersheim, Christoph Paltsev, Sergey Waitz, Ian A The impact of the European Union Emissions Trading Scheme on US aviation |
| title | The impact of the European Union Emissions Trading Scheme on US aviation |
| title_full | The impact of the European Union Emissions Trading Scheme on US aviation |
| title_fullStr | The impact of the European Union Emissions Trading Scheme on US aviation |
| title_full_unstemmed | The impact of the European Union Emissions Trading Scheme on US aviation |
| title_short | The impact of the European Union Emissions Trading Scheme on US aviation |
| title_sort | impact of the european union emissions trading scheme on us aviation |
| url | http://hdl.handle.net/1721.1/87114 https://orcid.org/0000-0001-7924-8161 https://orcid.org/0000-0003-3287-0732 |
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