New increase in airfare prices in sight: prices will rise further due to the climate tax imposed by the European Union in order to reduce carbon dioxide emissions. Here are all the details.
If the prices of air flights in view of the summer holidays already seemed high, from next year those who have to fly – for travel or work – will have to prepare for another increase in prices.
From January 1, 2025, Lufthansa and several other companies have decided to increase ticket prices to cover, at least in part, the costs related to compliance with the European regulations on the reduction of carbon dioxide emissions.
Let’s find out the airlines’ strategies in detail.
Increase in airline ticket prices from 1 to 72 euros: the Lufthansa case
The German company in particular will introduce a environmental supplement which will concern both national and international and intercontinental routes. Increases will vary from 1 to 72 euros. This increase will affect all flights operated by the Lufthansa group departing from 27 EU countries, therefore also Swiss Air, Austrian Airlines, Brussels Airlines, Air Dolomiti and Eurowings.
But also other airlines, including Air France And IAG (British Airways And Iberia), intend to introduce an environmental surcharge.
Lufthansa confirmed the price increase in a company note, explaining that the surcharge is intended to cover part of the additional costs resulting from constantly increasing and implementing environmental requirements. The company emphasized that climate protection requirements in the EU require billions of investments, which Lufthansa cannot support alone, making the contribution from passengers.
The increase will concern all tickets issued from 26 June 2024 for flights starting from 1 January 2025. Until now the contribution was voluntary, but only 4% of passengers chose to pay something extra to protect the environment.
The EU steps to reduce carbon dioxide emissions
The European Union has established that by 2050, net zero emissions must be achieved, with an intermediate stage in 2030 which provides for a reduction of 55%. The “ReFuelEU” package specifies that from 2025 all flights departing from the EU will have to use a minimum quota of sustainable aviation fuel (SAF).
For the first year, the use of SAF will be 2%, which will rise to 6% in 2030 and gradually reach 70% in 2050. Furthermore, the mandatory quota also includes the use of synthetic fuels, such as e- kerosene, which will represent 1.2% in 2030 and reach up to 35% in 2050.
The roadmap of the European package
The ReFuelEU community package provides that, starting from 2025, all flights departing from airports in the European Union will have to use a minimum quota of sustainable aviation fuel (SAF), according to the following percentages:
- 2% from 2025;
- 6% by 2030;
- 20% by 2035;
- 34% by 2040;
- 42% by 2045;
- 70% by 2050.
Article Modified On:June 26, 2024
