France to introduce eco-tax on airlines flying from its airports

Published on : Wednesday, July 10, 2019

France will introduce a tax on airlines flying from its airports to help support the environment, as per the transport minister. The move is expected to raise around 180 million euros (U.S. dollars 202 million) from 2020. The news saw the airline shares dive down. Share prices of Air France (- 5.2 per cent) Ryanair (-4.8 per cent), easyJet (-4 per cent) and Lufthansa (-3 per cent) fell at 1255 GMT.

As per Air France, planned French eco-tax would be ‘extremely penalizing’. It said 50 per cent of its flights were operated out of France, notably for its domestic network, where losses amounted to more than 180 million euros in 2018. The new tax would significantly hurt its competitiveness and represent an additional cost of over 60 million euros per
year.

The new French tax will be 1.5 euros for flights within France or the European Union, 3 euros for economy flights out of the EU, 9 euros for intra-EU business class and up to 18 euros for business class tickets out of the EU. Transit flights would not be taxed.

The French government also said that from 2020 it expected to raise 140 million euros from reducing tax benefits on diesel for trucks.

French President Emmanuel Macron’s government has said it wants to put the environment at the center of its policies, but late last year it abandoned an attempt to increase tax on diesel fuel following the ‘yellow vest’ protest movement.

Transport Minister Elisabeth Borne told a news conference, “We have decided to put in place an eco-tax on all flights from France”. The proceeds would be used to finance daily transport in France, notably local trains.

As per Climate Action Network, the government is targeting tax breaks for the most polluting industries such as trucking and airlines, but these modest measures will not significantly reduce greenhouse gas emissions.

As per Lorelei Limousin said tax exemptions for jet plane kerosene fuel cost French taxpayers more than 3.7 billion euros per year.

 

 

Tags: , ,

Leave a Reply

Your email address will not be published. Required fields are marked *

arrow2Follow TTW
 
facebook-logo  twitter-logo  LinkedIn_logo  stumbleupon-logo   rss_logo 
ttw_blogger_logo  ttw_blogger_logo  ttw_blogger_logo

ADVERTISEMENT

  • 08 imexamerica 2019
  • 14 Hotelierseries Africa 2019
  • 14 restaurantscafeslounges 19
  • 16 global-hotels-resorts 2019
  • 16 TTF 2019
  • 17 getglobal 19
  • 17 thincindonesia 2019
  • 18 Africa Hotel & Resort 2019
  • 18 chinatravelnews2019
  • 18 MILT 2019
  • 19 China Hotel 19
  • 19 itehcmc 19
  • 19 uzakrota London 2019
  • 20 uzakrota Istanbul 2019
  • 22 Africa Hotel Investment Forum 2019
  • 22 iitm 2020
  • 23 PTM 2019
  • 30 PATA

TRAVEL INDUSTRY EVENTS

    1. MICE INDIA AND LUXURY TRAVEL CONGRESS 2019

      July 17 - July 18
    2. HOTEL INVESTMENT CONFERENCE AUSTRALIA NEW ZEALAND

      July 17 - July 19
    3. MICE INDIA AND LUXURY TRAVEL CONGRESS 2019

      July 23 - July 24
    4. FOOD & HOTEL INDONESIA 2019

      July 24 - July 27
    5. IITM Bangalore

      August 2 - August 4
Get our toolbar!
Review www.travelandtourworld.com on alexa.com