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Carbon footprint - carbon trading

 

We actively campaign for carbon trading and were the first airline in the world to gain practical experience through participation in the UK Emissions Trading Scheme. As a member of this programme, we've reduced our UK carbon emissions by 23%.

For the last eight years, we've pushed for airlines to be included in global carbon trading by lobbying the UK government and the EU. As a direct result of our efforts, the EU carbon trading scheme is going to include the aviation industry from 2011.

How does carbon trading work?

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Carbon trading works by setting an upper limit on carbon emissions across the whole economy.

All companies are given an emissions allowance which they must not exceed. If a company's emissions are in excess of their allowance, they have three options:

  • cut their emissions by, for example, investing in low emissions technology
  • buy additional allowance from other companies
  • do both

Whichever option companies choose, the level of carbon emissions across the whole economy is regulated within a set limit.

 
 

Green taxes

Green taxes such as Air Passenger Duty are often talked about as a method of reducing carbon emissions. In fact, studies have shown that green taxes have little effect when compared to carbon trading. In order to achieve the same emissions reduction as trading, tax would need to be at least 23 times more costly than trading.