Subject: Emissions Trading System for aviation transport
Assuming that the Emissions Trading System (ETS) for aviation transport, as proposed in the Fit for 55 package, will be fully implemented:
1. What will the additional cost for a passenger per kilometre travelled on a plane be in 2030?
2. What will the additional cost per kilometre be in 2030 for goods transported on a cargo plane?
3. What will the total cost of investment needed for the application of the ETS for aviation transport be in 2030? What will the ratio of new jobs to lost jobs be in 2030?
Answer given by Executive Vice-President Timmermans on behalf of the European Commission (29 November 2021)
1. Information on the impact of the proposal on ticket prices is available in the impact assessment accompanying the Commission proposal (1) and in the report ‘Assessment of ICAO’s (International Civil Aviation Organisation) global market-based measure (CORSIA) pursuant to Article 28b and for studying cost pass-through pursuant to Article 3d of the EU — Emissions Trading System (ETS) Directive’ (2), commissioned by the Commission. The report examines a range of policy options, and the Commission proposal falls within the range of these options. It finds that ticket prices for flights within the European Economic Area in 2035 only vary by about 1% among the different policy options; whereas oil price fluctuations can result in a nearly 20% difference in ticket price.
2. The information required by the Honourable Member is available in the documents under point 1 above, which contain various cost calculations with different metrics. The metric ‘Revenue Tonne Kilometres’ (RTKs) covers the weight and distance of both passengers and cargo transported by an airline.
3. The application of the ETS for aviation transport does not require any investment. The price per tonne of CO 2 emitted may influence airlines’ decisions on investments for reducing emissions. According to the estimation in the report mentioned in point 1 above, carbon costs for flights within the European Economic Area in 2030 would range from 0-1.1% of airline operating costs, and from 0-2.1% for flights outside the European Economic Area. The Commission projects small positive overall impacts on employment, less than 0.05% across EU Member States. The Honourable Member can find further details in the impact assessment (3).
⋅1∙ SWD(2021) 603 final
⋅2∙ https://www.transportenvironment.org/wp-content/uploads/2021/03/Ares20211459392.pdf
⋅3∙ SWD(2021) 603 final