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Fleece-income carbon tax up fare demand for air travel or decline

Release Date:2012-05-05  Hits:181
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Senior aerospace analyst Ned (RayNeidl,) said that the individual as a region, the EU laws and regulations impose the global aviation industry, the move set a bad example. As part of the world, the EU unilateral action, trying to make the entry into force of the laws enacted on a global scale, this is a very troublesome thing. In history, the worldwide implementation of the rules and regulations on global cooperation, no single party to the other parties agree to the provisions of



Operators will certainly this part of the cost will be passed on to consumers, some industry observers predict, ticket prices between the U.S. and Europe will increase between 50-90 U.S. dollars.



The A4A spokesman Trent Lott (SteveLott) worry that the carbon tax charged by the EU may not be used for environmental protection. He said, "Taking into account the current situation of many European countries, we have good reason to believe that many governments use the money to repay the debt, deal with financial issues. In contrast, we believe that by the airline, the funds for the purchase of new aircraft and new engines, can we actually reduce carbon emissions.



By the European Court of Justice ruled the impact of the stock lower 21 U.S. aviation enterprises, Air New York Stock Exchange index fell 1.3% World steel pipe network editing . In addition, the U.S. Federal Aviation Administration (FAA) issued new regulations require pilots to get more rest time, this will also lead to the next 10 years, the airline's cost increased by $ 297 million.



Analysts pointed out that the operators are likely to considering themselves how to deal with the EU carbon emissions tax, completely get rid of it is very difficult.



Investment analysts Kaufman (JeffKauffman,) said that the airlines will have to pass on the carbon tax to the passengers. Travelers to Europe will face higher fares.



EU law, how it will affect the airline's pricing plans, the majority of American aviation enterprises did not respond. However, Virgin Atlantic Airways (VirginAtlanticAirways), this cost must be passed on to their clients.



Rising cost of air travel



Investment analysts Stirling (KevinSterling,) that, if fuel prices continue to rise, re-planning of routes is not necessarily effective. If fuel prices fall, perhaps route the transfer to the surrounding area will have practical significance. 21, the U.S. crude oil prices continue to rise, about 99 U.S. dollars / barrel.



U.S. Air Transport Association (A4A) is opposed to the practice of forced conscription of "carbon tax" the EU in the aviation field, and said it was studying the legal means it can take, but its member airlines for the time being "dissent" to comply. A4A is estimated that from 2012 until 2020, carbon emissions tax will cause the cost of aviation enterprises increased by $ 3.1 billion.



Fares to Europe or to improve



According to the Wall Street Journal reports, the United Parcel Service (UPS) may consider re-planning of flights to and from the European region, such as bypass Mumbai, thereby reducing the cost of the European Union levied a carbon tax. UPS interview with Reuters, said, "has not yet decided the future of the response measures. Federal Express Corporation (FedExCorp) did not respond. The same time, the IATA said in a statement to the disappointment of the European Court of Justice ruling.



Airline reaction



2011, Delta Air Lines (DeltaAirLinesInc), American Airlines (AmericanAirlines) and other aviation enterprises has ordered hundreds of new aircraft, new aircraft, lower fuel consumption, carbon emissions are also greatly reduced.



U.S. Aviation Institute of vice president of strategy Miller (MikeMiller,) said that based on current fuel prices, the EU's carbon tax act or will lead to cross the Atlantic (600,558, stock it) ticket prices of 70-90 U.S. dollars. In the final analysis, the carbon tax is levied oriented passengers. This will bring the ticket prices, which will suppress demand for air travel. This will also slow down the airlines to buy more fuel-efficient aircraft, the pace of investment plans, which is the single most effective way to reduce carbon emissions. In addition, according to the news of the International Air Transport Association (IATA), rising fares and the consequent demand decline may lead to at least 10 million passengers to give up air travel.



Discount ticket site Bestfares.com CEO Tom Parr Vincennes (TomParsons,) that in recent years, consumers pay the cost of rising consumer spending increased significantly world pie network information . In 2007, New York to London round-trip ticket fuel surcharge is $ 130, now $ 382.



United mainland holding company (UnitedContinentalHoldingsInc) called on the United States and other governments continue to seek the liberation of the program the principle of cooperation rather than unilateral action.


News: December 22, 2011, the European Court of Justice judgment of 22 December expressed support for the law of the EU carbon tax for all flights out of European airports from January 1 next year, the airline will provide round-trip flights in Europe to pay a carbon tax.

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