Country:European Union
Policy status:Ended
Date Effective:2000
Policy Type:Economic Instruments>Fiscal/financial incentives
Policy Target:
Agency:European Commission
Description:Within a framework for the taxation of energy products, the European Commission, in its proposal (COM[97]30) for a Council directive restructuring the Community framework for the taxation of energy products, makes provision for member States to tax, on an optional principle, national flights and flights between member States on the basis of bilateral agreements. According to this proposal, member States shall continue to apply the existing general exemption from excise duty of fuels used for the purpose of air navigation, other than private pleasure flying, for as long as such products are obliged to be exempted under international obligations (in particular the 1944 Chicago Convention). The European Parliament (EP) suggested in September 2000 that the European Union should impose environmental levies on airlines if ongoing international talks on taxing aviation fuel fail to achieve agreement. The Commission presented a communication on taxation of aircraft fuel, in March 2000 (COM[2000]110). Both the Council and the EP endorsed the Commissions recommendation to intensify action within the ICAO (International Civil Aviation Organisation) framework for the introduction of taxation on aviation fuel and other instruments with similar effects (COM(2000)821). The EP, in its resolution of 13 December 2000, urged the Commission to, inter alia, submit a communication containing proposals for internal EU measures, if no satisfactory measures are taken by the ICAO.

Last modified: Fri, 06 Jul 2012 17:05:01 CEST