INTRODUCTION

BACKGROUND

At its seventh meeting the Committee on Aviation Environment Protection (CAEP) tasked the Market-based Measures Task Force (MBMTF) to conduct a "scoping study into the potential for the use of emissions trading for LAQ" (local air quality).^1,2

1. Task M 0.3, Appendix A to the CAEP/7 report (Doc 9886), February 2007.

2. During its preparatory work, the sub-group of the MBMTF in charge of this task came to the conclusion that an extension of the scope of the study to include offsetting for LAQ purposes was appropriate. There were two reasons for this: a) the main issues concerning the application of offsetting to LAQ emissions are similar to those concerning the application of emissions trading to LAQ emissions; and b) it was considered desirable to consider the creation of LAQ allowances in aviation that might be used to offset emissions as part of an emissions trading mechanism associated with any airport LAQ management framework. This extension was agreed to by the CAEP Steering Group in September 2008.