Airlines to Be Second-Biggest Sector in EU CO2-Trading System

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Airlines will be the second-largest sector in the European Union’s emissions-trading system, after power generators, when aviation joins next year with a carbon-dioxide limit of 213 million metric tons.

The industry-wide cap on airlines aimed at fighting global warming will fall to 208.5 million tons of CO2 a year in 2013 under the decision today by the European Commission, the EU’s regulatory arm in Brussels. The inclusion of aviation in the cap-and-trade system may push up fares.