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Lucia A Keegan  02/14/2007 09:41:22 AM  From  DB/Inbox:  Lucia A Keegan

Cable 
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UNCLAS    SENSITIVE     PARIS 00568

SIPDIS
cxparis:
    ACTION: ECON
    INFO:   DCM FAA ENGO SCIO POL ORA AMB AGR LABO TRDO
            ESCI FCS ECNO UNESCO ECSO SCI

DISSEMINATION: ECONOUT /1
CHARGE: PROG

APPROVED: ECON:TJWHITE
DRAFTED: ECON:MMOTLEY
CLEARED: ECON: SDWYER, SCI:RDRY

VZCZCFRI110
RR RUEHC RUCNMEM RUEHMT RUEHBS
DE RUEHFR #0568 0431514
ZNR UUUUU ZZH
R 121514Z FEB 07
FM AMEMBASSY PARIS
TO RUEHC/SECSTATE WASHDC 4893
INFO RUCNMEM/EU MEMBER STATES
RUEHMT/AMCONSUL MONTREAL 0133
RUEHBS/USEU BRUSSELS 1929

UNCLAS PARIS 000568 
 
SIPDIS 
 
SENSITIVE 
 
STATE FOR EB/TRA, EUR/WE, EUR/PGI, OES/EGC 
 
E.O. 12958: N/A 
TAGS: EAIR ECON SENV EUN FR
SUBJECT: FRANCE DEFENDS AVIATION EMISSIONS TRADING; WILLING 
TO WORK WITH U.S. AND ICAO ON INTERNATIONAL SOLUTION 
 
REF: STATE 4858 
 
¶1. (SBU) Econoff discussed reftel points on the EU's proposed 
aviation emissions trading scheme (ETS) January 26 with 
Jean-Michel Bour, Civil Aviation Authority Director of 
International and Multilateral Relations, and February 7 with 
Olivier Berthelot, Advisor for Aviation to the Minister of 
Transport. Both strongly defended the EU's ETS proposal as an 
economically efficient approach to managing carbon emissions, 
which Bertholot pointed out had been tabled by the French in 
2005 as a way to avoid the adoption of economically harmful 
taxes on emissions at the EU level. He conceded that DG 
Environment had gone beyond the original French idea, which 
envisaged only a regional approach within the EU. For his 
part, Bour regretted that with respect to international 
carriers, the Commission had adopted a "unilateral" approach 
that it had so often deplored in others. 
 
¶2. (SBU) Both officials also made the point however that the 
Commission directive was still a draft, and that it should be 
seen as complementary to ICAO efforts on aviation emissions. 
Further modification of it was likely as it made its way 
through the legislative process.  Bour characterized it as a 
broad mandate with many details yet to be determined, and 
urged the U.S. to work with "moderate countries" (such as 
France) in the context of ICAO discussions to reach an 
acceptable solution.  Berthelot too underlined the Ministry's 
view that the Commission's project would eventually need to 
be harmonized with an ICAO approach.  Bour said that the one 
year delay was "only a proposition," that could be modified 
if international agreement on aviation emmissions control was 
reached.  He went so far as to suggest that 2012 was chosen 
by the Commission to coincide with the expiration of the 
Kyoto accord, and saw it as recognition that any eventual 
regime applied to aviation would also be a part of, or 
strongly influenced by, negotiations on a successor agreement 
to Kyoto. 
 
¶3. (SBU) Bour and Berthelot also argued that the ETS would 
play a valuable role as a regional pilot program, and Bour 
added that it was complementary in that sense to U.S. efforts 
to reduce emissions by modernizing Air Traffic Control 
systems.  Both made mention of differences of opinion between 
the MOT and Ministry of Ecology on the issue, particularly 
regarding application to international flights. 
 
¶4. (SBU) In a February 5 conversation with ECMIN, Guy 
Tardieu, Chief of Staff to Air France CEO Jean-Cyril 
Spinetta, said that Air France favors a rational ETS regime. 
CEO Spinetta is expected to hold a press conference the week 
of February 19 to focus on the airline,s "green" agenda and 
will speak in favor of ETS.  Tardieu described the commercial 
airline industry as the "oil consumer of last resort," since 
alternative energy sources (nuclear, wind, etc.) are 
ill-suited for aviation.  He admitted that Air France is 
relatively well-placed in comparison with its main 
competition, having a relatively fuel-efficient fleet and 
ambitious modernization plans. 
 
¶5. (SBU) Post has also circulated reftel points to contacts 
in the Ministry of Foreign Affairs, and Ministry of Ecology 
and Sustainable Development, but has not yet received a 
substantive response. 
Please visit Paris' Classified Website at: 
http://www.state.sgov.gov/p/eur/paris/index.c fm 
 
WHITE