Industry leaders are calling on the government to ringfence revenue from Air Passenger Duty to invest in greener flying.
Joanne Dooey, president of the Scottish Passenger Agents’ Association, wants a “total review” of the controversial tax and John Strickland, aviation consultant to WTM London, urged politicians to fund research into environmentally friendly fuels.
The Scottish trade body has long called for APD reform, asking for it to be reduced on domestic flights because services including connections to long-haul hubs such as Heathrow get taxed twice in its current guise.
But Dooey, who took over at the helm of the SPAA last year, said it was time to start from scratch with the tax.
Speaking at the SPAA’s 90th annual dinner in Glasgow on Thursday night, she said: “Surely it is time for a total review of APD – removing the bands and starting again.
“Maybe domestic APD should be abolished and ways of incentivising airlines via carbon reduction on new direct routes to the regions could be considered?
“Perhaps reduced charges on newer, fuel-efficient aircraft could be reviewed along with further consideration of lifeline and remote routes?”
She told Travel Weekly: “The money needs to be pumped back into environmental projects. Why not give the money to help develop better, cleaner aircraft? It has been sold as a green tax but it isn’t a green tax at the moment.”
On the SPAA’s change of stance, she said: “We are not going to get it abolished. So is it not better to reform it and see where the money goes?”
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Strickland said the controversial levy raises about £3.7 billion a year for the Treasury, so diverting just 10% or 20% of that money into research would help airlines shrink their carbon footprints.
Speaking at a WTM London livestream event about sustainability in travel, he said there must be more studies into biofuels and electric alternatives – as well as improvements to air traffic control, because congestion at airports means aircraft often circle around before landing, producing yet more pollution.
“Airlines need to speak with one voice – they’re in the dock for their contribution to emissions and need to make customers and politicians understand [aviation’s] value,” he said.
He said diverting part of the income from APD to research would also lead to greater transparency about how the taxes are spent – as many consumers currently see the levy as a ‘black hole’.
About 2% of global emissions come from aviation but that is set to rise as passenger numbers grow and airlines struggle to find alternative fuels.
Strickland said low-cost carriers are less polluting per passenger because they fill their aircraft, and there is a debate about the negative impact of business class cabins, as premium passengers have bigger carbon footprints.