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KLM and Aviation Sector: Kerosene Tax Does Not Help Sustainability

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According to airline KLM, the tax on aviation fuel proposed by the European Commission will not help in achieving the set emission targets.

 

It could even lead to extra kilometres because airlines will fly around to avoid Europe, KLM says in response to Brussels’ plans. Industry association IATA also denounces the tax plans.

The international aviation organization also wants global agreements to be made. For example, IATA supports a global CO2 pricing plan for aviation but is against measures that only apply in Europe. This leads to a “patchwork quilt of uncoordinated national and regional measures”. They are bad for competition in the sector.

According to both IATA and KLM, it makes more sense to focus on sustainable aviation fuel. European airspace also needs to be reorganized so that air traffic control can plan more direct routes. This has been worked on for some time, leading to a fuel saving of 10 percent on European flights.

Finally, aviation also wants to continue to focus fully on developing things such as flying electric and flying on hydrogen. These technologies will probably yield little for 2030, but they can lead to a further clean up of the sector in the years up to 2050.

Jet fuel is currently not taxed. Airlines also have other tax benefits. They are thus exempt from VAT.

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