Passengers likely to pay for new EU emissions deal

Passengers are likely to face yet another increase in airfares, after the European parliament’s approval this week of a new carbon emissions trading programme, which from 2012 will include airlines. Green campaigners have complained that the plans do not go far enough.

It is expected that the airline industry will pass costs on to passengers, which will mean at least an additional fee of €39.60 on long-haul return flights, and €9 on short-haul trips, according to a report by the European commission. Airlines are indicating that the cost of the scheme could even be higher, as estimates by the commission were made before changes that are expected to making the programme even costlier for the industry.

Figures from the International Air Transport Association (IATA) indicate that by 2012, carbon credits will add $3.5bn to airline industry costs, which constitutes approximately two-thirds of last year’s total industry profits.

“There is no assurance that any of the money will go to environmental programmes. It’s time for Europe’s politicians to be honest. This is a punitive tax put in place by politicians who want to paint themselves green,” said IATA chief executive, Giovanni Bisignani.

Bisignani added that the planned programme would hinder attempts to make the airline industry more environmentally responsible, by antagonising non-European airlines, who would also be required to pay for emissions generated during flights to and from the EU. The US, as an example, has expressed objections to the plan.

Thank you to www.guardian.co.uk for the quote above, for more information please visit their website.

www.iata.org