EU aviation plans set ticket prices soaring

Brussels plans to tackle air pollution by including airlines in its flagship emissions trading scheme could add up to €9 to the price of a plane ticket.

According to proposals leaked to the Financial Times, EU environment chief, Stavros Dimas plans to push forward with the inclusion of airlines in the emission trading scheme, rather than alternative measures such as a blanket ticket or fuel tax.

Carriers would have to purchase permits covering their carbon dioxide emissions, with the cost, estimated at up to €9 per return trip, passed on to customers.

The plan is supported by a number of airlines, including British Airways, a staunch supporter of emissions trading for Europe’s airlines.

All flights departing and landing in the EU would be covered by the proposals, including non-EU carriers.

CE Delft, the consultancy hired by Brussels to look into the feasibility of all three proposals suggested in a recent report that,” the main conclusion is that none of the policy options…will damage the competitive position of EU airlines relative to non-EU airlines.”

The FT quotes a commission source as saying,” some airlines see this as inevitable and the least bad solution.”

Dimas is said to favour inclusion in the emissions trading scheme as “the most promising way forward.”

But the proposals may have more of an impact on Europe’s rapidly expanding budget airlines, which could see their costs soar if they have to purchase higher numbers of emissions permits.

The UK has made the inclusion of airlines in Europe’s emissions trading scheme a priority of its six month EU presidency.

The leaked proposal follows last week’s decision by the College of Commissioners to forge ahead with a package of environmental strategies, after the summer recess.

Dimas’ seven environmental strategies, including a thematic strategy for air pollution, faced the axe ahead of last Wednesday’s meeting, as Brussels chiefs debated the cost to Europe’s competitiveness of introducing further eco-legislation.

But the 25 commissioners agreed Dimas’ package, and the strategies will now go forward to the European Parliament later this year.

• Previous article
• Next article