EU imposes emissions tax on airlines

It will hamper investment in technology to reduce emissions, says air transport association

Published on:

17 Sep 2011, 9:25 am

Starting January 1, 2012, airlines using the EU airspace would have to pay a fee for any emission that exceeds a set cap. This fee is part of the EU-ETS (EU-Emissions Trading Scheme), which is the EU’s key tool to reduce industrial greenhouse gas emissions. The move has been on the cards since 2008, but as the date draws closer, airline associations are getting more vocal about their unwillingness to pay.

	Tax imposed under EU Emissions Trading Scheme (EU-ETS)
Meant to reduce industrial greenhouse emissions
Cost to airlines purchasing the necessary carbon allowances may more than double, says one estimate