Yet another airline price rise?

By | Category: Travel rumblings

UPDATE: 10 January. Amerian Airlines, Continental, Delta,United Airlines and US Aiirlines have introduced $3 surcharge on flights to/from Europe reports Aviation Industry News. Having just booked a flight on American Airlines I had no surcharge.

On Wednesday, the European Court of Justice decided that all airlines flying in and out of the EU would have to pay for carbon emissions from January 1st next year. This upset the Americans, the Chinese, and just about any other country and airline outside Europe.
When APD was first introduced it was a green tax. So why have two taxes for the same thing? George Osborne, the Chancellor, admitted that was a myth. APD was just to raise cash for the government and lots of it. So we have another tax which might be masquerading as an environment tax. The EU wide tax is likely to raise over €3 billion for them over the next eight years but who will pay?
Make a wild guess?
Somehow we’ll end up paying. The estimates range from about £10 to £12 per ticket. Will this make a difference to decisions on whether to fly? Is it fair given that other countries are doing little? IATA (International air Transport Association) sides with the airlines saying a global approach is needed. The justification would seem to be that if you flew from London to San Francisco on holiday less than 9%, according to a US trade body –Airlines for America, – would take place in EU airspace. But under the tax they will take the lot! A quarter takes place over the ocean and where would that money go?
Unilateral decisions like this one only seem a recipe for tit-for-tat retaliations and who suffers? The passenger. As the Washington Post says, countries of the UN body ICAO (International Civil Aviation) have been discussing this for 14 years and have got nowhere.
So expect some hot air in the new year and another wallet haircut!

If you enjoyed this post, please consider subscribing to the RSS feed to have future articles delivered to your feed reader.
Tags: , , , , , ,