EU carbon aviation law foes press ahead with global alternative

WASHINGTON, Aug 1 (Reuters) - Seventeen countries opposed to

an EU law that forces their air carriers to pay for the carbon

they emit on flights to and from Europe reaffirmed they want to

keep working on a multilateral framework under the United

Nation's global aviation body, a senior U.S. official said on

Wednesday.

The U.S. State Department and Department of Transportation

concluded a two-day meeting of countries opposed to the EU's

emissions trading system (ETS) without a joint declaration, but

plan to address the greenhouse gas emissions issue within the

International Civil Aviation Organization (ICAO).

"In a nutshell, the meeting confirmed the very solid and

strong opposition to the ETS, but also indicated that there is a

lot of interest among countries in continuing to work on the

suite of activities in ICAO," the senior U.S. official said in a

news briefing.

Joining the United States at the meeting were Australia,

Brazil, Canada, Chile, China, Colombia, India, Japan, South

Korea, Mexico, Nigeria, Russia, Saudi Arabia, Singapore, South

Africa and the United Arab Emirates.

The countries plan to try to implement the goals and actions

they agreed to at the 2010 ICAO assembly. These include a

voluntary target to cap net carbon emissions by 2020, national

action plans, improving air traffic management, and adopting an

emissions standard for aircraft, according to the meeting

chairman's summary.

There was also broad agreement that they would continue to

develop market-based measures that countries or regions could

use to curb emissions.

However, the senior official said that, while there was

broad support for creating an international emissions trading

or carbon offsetting system, work on the feasibility and on

implementing such a scheme would take "a substantial period of

time."

"I don't have any basis for projecting whether there will be

any agreement by the time of the 2013 assembly," the official

said, referring to the body's next meeting of all 190 members

late next year.

The official said that, although the EU was not represented

at the July 31 to Aug. 1 talks, he had briefed an EU counterpart

on what was discussed.

"COUNTERPRODUCTIVE" CONGRESS

Observers across the Atlantic remained skeptical about the

ability of the ICAO to deliver a global alternative to the EU

trading scheme.

They said a bill from the U.S. Senate's influential commerce

committee that shields U.S. airlines from complying with the EU

law sent mixed signals.

"The senators miss the point. Anyone can call for action at

ICAO. It's been a hobby of many for 15 years. So what?" said

Bill Hemmings, the program manager of Brussels-based lobby group

Transport and Environment.

EU Parliament Environment Committee Chairman Matthias Groote

said the Senate bill was a distraction and could impede progress

on a global ICAO framework.

"The US bill to allow their airlines to flaunt (sic) EU

legislation is disrespectful and counterproductive," he said in

a statement. "The EU and the US fully agree that an agreement

within ICAO is the best solution, so let's work in this

direction in good faith."

Democratic Senator Claire McCaskill's office said the bill

she sponsored with Republican Senator John Thune would help, not

hinder the ICAO's efforts.

"The McCaskill-Thune bill compliments those efforts quite

nicely. It shows the U.S. is serious about addressing the

issue," the senator's office told Reuters.

McCaskill's staff expects to make progress moving the bill

forward in September, with the goal of putting it up for a vote

on the Senate floor.

Meanwhile, a coalition of U.S. business and airline industry

lobby groups urged the Obama administration earlier this week to

file an action under the ICAO, which would enable the body's

council to make a decision in a dispute between members.

The U.S. senior official said on Wednesday that option was

"not off the table," but the administration "doesn't have any

immediate plans to do that."

(Additional reporting by Barbara Lewis in Brussels; editing by

Andre Grenon)