India, EU negotiating over airline carbon tax

The European Union (EU) is willing to consider whether India's efforts to reduce carbon emissions could qualify for waivers

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India, along with the United States, China and several other nations, has opposed the European Union Emissions Trading Scheme that stipulates all airlines using EU airports must pay a price for emitting planet-warming gases during a flight.

But the law also allows for equivalent measures to be taken into account without specifying what they could be. Some analysts say such steps would cover other ways of reducing emissions in the airline sector.

"We are not dictating others what to do. They can do whatever they want and we can discuss if they are equivalent measures," Connie Hedegaard told Reuters after a meeting with India's Aviation Minister Ajit Singh on Friday.

"I invited the Indian minister that we could engage in a discussion on equivalent measures. We had a very constructive dialogue. "

No. 3 in the list of top carbon polluters, India is betting big on two market-based trading schemes to encourage energy efficiency and the use of green power, touting them as decisive, voluntary action to fight emissions-induced climate change.

New Delhi would hope that such schemes would qualify as "equivalent measures" that would help its airlines gain exemption from the EU carbon law for the aviation sector.

"That (waiver) is a provision in our legislation," Hedegaard said, adding so far exact measures that could be considered equivalent were yet to be negotiated.

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