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Airlines will join a European Union scheme to cut carbon dioxide emissions by trading pollution allowances from 2011, adding between £1.30 and £6.40 to a short-haul, return flight.

The move drew a mixed welcome from carriers and broad condemnation from environmental bodies.

The emissions trading scheme will apply only to flights within Europe for the first year, in anticipation of a legal challenge to a wider scheme from US airlines. However, European environment commissioner Stavros Dimas plans to extend it in 2012.

Short-haul carriers such as EasyJet said a restricted scheme would unfairly penalise them, but British Airways welcomed the announcement.

Airlines will join the existing trading scheme involving much of heavy industry and trade carbon dioxide allowances with other companies.

They will be able to continue expanding and increasing emissions through buying credits from companies such as power generators that make reductions through using cleaner technology.

The carriers will start with allowances equivalent to their average annual emissions in 2004/2006. Air travel is expanding by about 5% a year and green campaigners point out the Kyoto agreement that underpins the scheme set the baseline for emissions reductions at 1990 levels, since when airline emissions have almost doubled.

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