1. 1 The Airlines’ Climate Change Commitment – Fact Versus Myth in the Case Against the EU ETS Greener Skies Conference – 27 September 2011 Nancy N. Young Vice President, Environmental Affairs Air Transport Association of America, Inc.

2. 2 Aviation Environment Fact Versus Fiction “The use of traveling is to regulate imagination by reality, and instead of thinking how things may be, to see them as they are.” Samuel Johnson, from “Anecdotes of the Late Samuel Johnson,” by HL Piozzi, 1786

3. 3 Perception –Aviation is a major climate change contributor –Aviation greenhouse gas emissions are the “fastest growing” (source: Connie Hedegaard, FT, 11-9-11 ) Reality –Aviation is a relatively small contributor Domestic US commercial aviation = 2% GHGs (source: EPA) Worldwide aviation = 2% man-made CO 2 (source: IPCC) –Aviation emissions small relative growth Most likely” IPCC scenario estimates global aviation 3% CO2 and 5% climate change impact in 2050 Even So, Aviation Is Working to Limit & Reduce Its Emissions Air Transport Association of America, Inc. Aviation’s Climate Change Contribution

4. 4 Air Transport Association of America, Inc. Aviation Emissions Are Not Fastest Growing Data from 2011 Annual European Union Greenhouse Gas Emissions Inventory report. Figures 3.54 (Road Transport) and 3.52 and 3.92 (adding together Domestic and International Aviation) EU-15 CO2 Emissions; Tg CO2 Equivalents; 1990-2008 NOTE: This Even Overstates EU Aviation Emissions, as It Includes International Road Transport Growth = 150 Tg CO2E Total = 770 Tg CO2E Aviation (Combined) Growth = 62 Tg CO2E Total Aviation = 136 CO2E

5. 5 Technology Alternative Fuels Operations Infrastructure Already Motivated to Get as Much as We Can out of These Measures –Fuel is our #1 cost center Air Transport Association of America, Inc. Means of Enhancing Fuel/GHG Efficiency

6. Global industry targets 201020202050 1.5% annual fuel efficiency improvement (average) Working towards CNG Carbon Neutral Growth (CNG) from 2020 50% reduction in net CO 2 emissions over 2005 levels Targets are at GLOBAL level and not allocated to states or operators

7. ATA Challenge to the EU ETS as Applied to Aviation Legal Issues: 1. Violation of Sovereignty 2. Violation of Sovereignty and ICAO Authority over High Seas On the Ground in the US Over the Atlantic Ocean Over US, Over Canada EU Airspace On the Ground in the EU 3. Improper Charge and/or Tax 4. Violation of Kyoto Protocol Obligation to Address through ICAO Air Transport Association of America, Inc.

8. 8 To Oppose the EU ETS – For Example, U.S. Action To Invest in and Support Technology, Operations Infrastructure and Alternative Fuels To Foster a Global Approach through ICAO Air Transport Association of America, Inc. Governments Must Do Their Part

9. 9 If You Want to Feel Good About the Future, Look Up! We Can Get There with Our Global Approach We Are America’s Airlines Connecting and Protecting Our Planet ® Air Transport Association of America, Inc.