European Airfares to Increase
Starting this year, airlines that fly to, from, and within Europe will be passing some new expenses on to passengers in the form of higher ticket prices, as recommended by the European Union. One airline, Lufthansa, has already announced its plans to do so.
All airlines flying to and from Europe are now required to purchase C02 certificates for emission rights, since airlines are now included in the EU Emissions Trading plan. The percentage of certificates the airlines need to buy is based on carriers’ average emissions from 2004 through 2006.
Lufthansa forecasts that purchasing the emission rights will result in additional expenses of €130 million for the airline in 2012.