On 3 July, the Commission released draft new guidelines on State aid to the aviation industry. Citizens have until 25 September to comment. T&E estimate that about €3bn a year goes to the aviation industry across the EU and the Airports Council International (ACI) have estimated that airports under-recover about €4bn in airport costs a year.
This article was first published, in abridged form, by Ethical Consumer. If global aviation emissions were a country, it would be ranked 7th in the list of global emitters, between Germany and South Korea. Yet aviation is the only means of transportation that doesn't pay a penny of tax on the fuel it burns. This is an unfair advantage that airlines have over trains, coaches and cars, making it the fastest growing form of transport while also being the most carbon intensive. All of this is to the benefit of rich chaps, as, contrary to common public myth about low cost flights, air travel is one of the least democratic forms of moving from A to B.
The one year pause for aviation in the EU Emissions Trading System (ETS) has intensified international debate on finding a global emissions deal for aviation. This pause will finish at the end of the year and aviation in the ETS will revert to full enforcement next January. Some countries, led by the US, are pressing for any future scope to be limited to “EU airspace”, which would be environmentally ineffective and unacceptable. If the ETS is to be amended, it should be on the basis of maximum coverage of emissions generated by international flights. The most promising option to keep an environmentally sound ETS while addressing the concerns of other countries is for the EU to regulate extra-European flights on a 50/50 basis: the first 50% of any departing flight and the last 50% of any arriving flight. This, and the other options on the table, are fully explained in the briefing below.The various options available to the EU will be debated at a roundtable event in the European Parliament on September 4th. For more information about the event, see here: http://www.transportenvironment.org/events/greener-flights-grounded
Dr. Peter Liese MEP invites you to join him for an evening roundtable on the future of aviation in the ETS. This event will examine the possible options to ‘restart the clock’: reinstatement of the full ETS, reduction to departing flights only (including the 50/50 option) or scope curtailed to regional airspace, as the US and others insist. Confirmed speakers:Dr. Peter Liese, European ParliamentJos Delbeke, European CommissionMinister-Counsellor Mr. LI Song, Chinese Mission to the EUPaul Steele, International Air Transport Association (IATA)Bill Hemmings, Transport & Environment
Debt-ridden EU countries miss out on up to €39bn every year, a sum rivalling that of Spain’s drastic budget cut in 2013, representing fuel and value-added taxes (VAT) that air carriers don’t pay, a new study shows.
In these times of austerity, deficit budgets of European governments are missing out on almost €40bn a year due to a lack of basic taxes on aviation. This briefing explains a new study that looks at revenue that EU Member States could receive if fuel tax and VAT were imposed on aviation, as on road transport.
The Commission has published proposals aimed at reducing the amount of taxpayers’ money that goes to airports and airlines. However, the fine print of what is initially a consultation means small airports will continue to receive massive subsidies that often make their way to low-fares airlines, even when such subsidies distort competition between airlines. The consultation is important, because when it is complete the Commission can implement its preferred solution without consulting MEPs.
The European Commission today published new draft guidelines  that will allow regional airports and EU carriers serving them to keep receiving subsidies worth €3bn a year. In a good number of cases  these rules prop up unprofitable regional airports and low-cost carriers, allowing them to continue to operate in an unsustainable way which distorts competition between budget and national carriers. The proposed guidelines also permit the bail out of financially unviable operations for a decade and allow infrastructure aid for building new airports to continue in aeternum.
Air travel accounts for 5-14% of global climate emissions and is growing rapidly. Nevertheless, aviation emissions remain unregulated. Pressure is mounting on the International Civil Aviation Organization (ICAO) to agree to a mechanism to reduce aviation emissions during their next triennial Assembly in September 2013.
The world’s leading airlines have indicated the need to accept a global market-based measure to reduce aviation’s contribution to climate change. The International Air Transport Association (IATA) agreed at its annual meeting earlier this month that a global carbon-offsetting measure after 2020 would be acceptable to its airline members. T&E has recognised the shift in air industry thinking compared with earlier statements, but says the IATA position is ‘not convincing’.