The review of market-based measures in mitigating aircraft noise and the applications for Taiwan

Abstract

Despite the economic downturns and unexpected drawbacks, the air transport industry is still forecast to experience a 5-6 % annual growth for the next 20 years, with the Asian markets taking the lead. The International Civil Aviation Organization, other international aviation organizations and national governments have stated the importance of applying market-based measures (MBMs) as one of the policy options for achieving the sustainable development of the industry. The MBMs cover environmental charges, taxes, trading and offset, generally applied at the international, national or airport levels, mainly for the purposes of mitigating aircraft noise and/or engine emissions. This paper reviews the current applications of MBMs in mitigating aircraft noise worldwide and investigates the differences and purposes of various measures with a view for the applications in Taiwan. The current state of noise management measures, covering both regulations and economic instruments, at Taiwanese airports is also described in the paper. Theoretical evaluations of the social costs of aircraft noise have been assessed for comparison against the charge levels of different MBMs where applicable. The outcomes will assist policy makers in applying adequate MBMs for given purposes. Keywords: Market-based measures, aircraft noise social costs, charges.