Tuesday, July 9, 2019

Flight Tax

From the DW:
“France to impose green tax on flight tickets from French airports”

All tickets for outbound flights from French airports will include a green tax from 2020. It is expected to raise €180 million a year, which will pay for more environmentally friendly means of transportation. France will introduce an eco-tax of up to €18 ($20) on all tickets for flights flying out of French airports to fund less-polluting transportation projects, Transport Minister Elisabeth Borne said on Tuesday. The tax, estimated to raise around €180 million a year, will come into effect in 2020 and calls for a fee of €1.50 on economy-class tickets for domestic flights and those within Europe. The highest tariff of €18 per ticket will be applied to business-class travelers flying outside the bloc, Borne said. It will only be applied on outgoing flights and not those flying into the country, Borne said. Planes powered with renewable energy don't produce CO2 or other climate-damaging emissions such as nitrogen oxide and particles. They are smaller, lighter and more efficient than planes powered by kerosene. The Alpha Electro from the Slovenian start-up Pipistrel is already proving this since 2015, when it had its maiden flight.

Airline shares fall

Shares of Air France and Lufthansa extended losses and were down 4.5% and 2.5%, respectively, immediately following the announcement. French carrier Air France said it opposed the planned eco-tax, saying it would cost the company €60 million per year. A similar tax was introduced in Sweden in April 2018, which imposed an added charge of up to €40 on every ticket in a bid to lessen the impact of air travel on the climate.  In Germany, a green tax of flights adds €8 to tickets with domestic, EU or North African destinations. Tickets for flights to destinations up to 6,000 kilometers (3,730 miles) away have an extra charge of €25; that charge goes up to €45 for tickets to destinations more than 6,000 kilometers away. French President Emmanuel Macron's government has wanted to tighten environmental regulation, but had to abandon an attempted tax increase on diesel fuel late last year following the "yellow vest" protest movement. France wants the new European Union Commission to push for an end to global tax exemptions for jet fuel, in order to reduce carbon emissions, and has teamed up with the Netherlands to try and convince fellow European nations to tax airline travel more.

^ You would think that France would want to welcome tourists back into their country with all the terrorist attacks, Yellow Jacket protests, etc. in recent years. Taxes like this one seem to only make people want to stay away or at least to fly somewhere else in Europe and then drive or take a train to France. Airplane passengers have had to deal with fees for everything (seats, food, luggage, etc.) and now to leave a country. It doesn’t seem right. I am curious to know if the green tax will actually be spent on improving the environment or will go to other areas. ^

https://www.dw.com/en/france-to-impose-green-tax-on-flight-tickets-from-french-airports/a-49523359

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