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EU Plans Carbon Fees on International Flights
Description
The European Commission is set to impose carbon fees on international flights departing from Europe, despite opposition from the U.S. and airlines citing high jet fuel costs. The proposed expansion of the EUs Emissions Trading System could generate €12.7 billion annually, affecting both EU and foreign airlines, as well as private jets. Industry representatives warn of potential trade wars, recalling the 2012 dispute that led to the suspension of ETS for international flights. The Commission, however, aims to avoid double-dipping and is considering integrating the system with the UNs CORSIA, a global offsetting scheme set to become mandatory in 2027. Airlines prefer a global solution through CORSIA, especially given Europes fuel issues. The July review of ETS could significantly impact how the aviation industry addresses its carbon footprint.
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