The European Commission has softened its proposal on adding aviation to its emissions trading scheme, EU sources said today.
It will limit the first year of the industry's inclusion to intra-EU flights only, and the plan foresees adding international flights into and out of the bloc from 2012, the second year that planes will be included in the system, sources said.
The European Union executive unveils its proposals tomorrow. The airline industry and major trading partners, including the United States, have accused the European Commission of overreaching with its original proposal.
The EU's emissions trading scheme - its key tool to fight global warming and meet targets for cutting pollution under the Kyoto Protocol - puts a limit on the amount of carbon dioxide big polluters such as power plants and oil refineries can emit.
But it excludes international aviation, a major and growing source of pollution as air travel booms.
Companies covered by the scheme buy permits to pollute if they overshoot their target and sell them if they come in below.