UAE carrier Etihad Airways has said it will add a fuel surcharge to its European flights from March 1 to combat the European Union’s new carbon emissions trading scheme (ETS).
The operator will add an extra $3 per passenger for flights into and out of Europe, while an extra $0.03 cents/kg will be levied on cargo shipments.
Etihad says the charges have been calculated based on the additional costs for the carbon credits the airline needs to purchase for 2012 in order to comply with the scheme.
The EU’s ETS, which came into force at the beginning of this year, forces operators either to reduce their emissions, buy more carbon credits from other airlines or sectors, or fund emission reductions outside the EU.The Gulf’s carriers have been especially affected by the move, as they are still seeking to expand their route networks in Europe.
“As an airline we are strongly opposed to the unilateral measures imposed by the European Union on our flights into and out of Europe, especially as they include areas outside European airspace,” said Etihad CEO James Hogan in a statement.
“We have invested many millions of dollars to ensure we operate a young and highly efficient fleet but are still being penalised.
“Our efficiency is reflected in the relatively low additional charge and we will continue to be transparent in keeping our customers fully informed of this carbon charge.”
In August last year, an Etihad spokesperson estimated that the cost to the carrier of the ETS could amount to $719m over the next eight years.
Earlier this month, Etihad announced it had made an annual profit for the first time. Revenues at the carrier rose 36 percent to $4.1bn, and passenger numbers increased by 17 percent to 8.3m.
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