Ryanair is to add 25c to all bookings from next week to cover the cost of the European Emissions Trading System (ETS) green tax scheme.
The carrier, which will bring in the levy from Tuesday January 17th, described ETS as an “eco-looney tax”. It said it would cost Ryanair passengers between €15 million and €20 million during 2012.
“Ryanair does not believe that European aviation should be included in the ETS scheme since it accounts for less than 2 per cent of the EU’s CO2 emissions," Ryanair’s Stephen McNamara said.
“This latest EU stealth tax will damage traffic, tourism, European competitiveness and jobs at a time when no other economic block is including aviation in their ETS schemes.
“This new ETS tax is the latest in a long line of cost increases imposed on Europe’s air passengers by the European Union, which reduces the competitiveness of EU air transport with yet another misguided ‘environmental’ tax which does nothing for the environment but penalises EU consumers and families,” he said.
Earlier this week Gulf airlines Emirates and Etihad Airways warned of higher ticket prices today as they look to pass on costs of a European Union carbon trading scheme to passengers.
Under plans to tackle climate change that came into effect on January 1st, airlines touching down or taking off in the 27-nation European Union and three neighbouring nations must account for their CO2 emissions as part of an expansion of the world's largest carbon market.
Additional reporting PA