The EC downplays the impact of the new "green tax" on aviation fuel on tariffs

Costs are unlikely to be passed on significantly

The Director General for Regional Policy of the European Commission, together with the President of the Canary Islands, participated in a "Citizen Dialogue" with representatives of Canarian civil society, during which this tax on kerosene was one of the issues discussed.

The analyzes commissioned by the UE on new "green tax" on aviation fuel indicate that it will not have a great impact on the price, as stated in Tenerife the Director General of Regional Policy of the European Commission, Monika Hencsey.

Hencsey has participated with the President of the Canary Islands, Ángel Víctor Torres, En a "Citizen dialogue" with representatives of Canarian civil society during which this tax on kerosene was one of the issues discussed, along with issues such as energy self-sufficiency, the green strategy of the European Union or the social pillar of community policies.

The new green tax is not expected to have a significant impact on air logistics rates. Although the levy could increase aviation fuel costs, it is unlikely to directly translate into a rate increase. The UE has estimated that the impact on fuel costs of the levy could be between 0,9% and 1,7%, meaning costs are unlikely to be passed on significantly.

The new "green tax" on aviation fuel was proposed by the European Union (EU) in 2019 as a way to reduce the carbon footprint of the aviation industry. This rate would apply to aviation fuels produced within the European Union, as well as imported fuels. The objective of the tax is to encourage the use of cleaner and less polluting aviation fuels. The EU carried out an analysis and impact study that assessed the effects of the tax on costs, competitiveness, safety, air quality and human health. The analysis found that the fee would have a limited impact on passenger costs and a positive impact on reducing emissions. CO2.