Wednesday 30 May 2012

EU Carbon Tax War of Words Ramps Up (FT 24 May)



The threatened trade war that Brussels seems determined to ignite which I flagged up on Cheapflights' news blog (before Stowawae started) last year,  is gradually moving closer.  It is over the unilateral decision by Brussels to include all international airlines using EU airspace in the EU's Emmissions Trading Scheme (ETS) which could cost airlines an estimated 1.4 billion Euros annually.  In a (perhaps) trite analogy its like Mr Brussels in his terrace house telling all his neighbours that they are not allowed to smoke in their own homes.  We all know that smoking is not good for you but......its seems Mr Brussels' neigbours are not having any of it!!  India has threatened to ban all EU airlines if Brussels goes ahead with its fit of pique threatening sanctions against Indian airlines.

http://www.ft.com/cms/s/0/aceffc00-a58d-11e1-a77b-00144feabdc0.html#axzz1wMOJSuiH

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