Poor nations call for 'levy' on air tickets to help adapt to climate change

World's poorest 49 countries tell UN meeting that aviation industry must help them cope with global warming by raising money from a tax on airline tickets and emissions trading scheme

John Vidal, environment editor
guardian.co.uk, Monday 6 April 2009 16.51 BST

A levy on all airline tickets and a global trading system for aircraft emissions are the contrasting proposals presented today to tackle the impact of flying on climate.
Negotiators at UN climate talks in Bonn were told by the world's poorest 49 countries that the annual 760m international air passengers should each pay a levy of about $6 (£5.4) on every flight to help those nations adapt to climate change.
The least developed group of countries (LDCs) said a modest levy could raise up to $10bn (£6.8bn) a year and help countries in the frontline of climate change adapt to the intense floods, droughts, sea level rises and crop failures that poor nations are experiencing as a result of global warming.
The proposed levy, they said, would increase the average price of an international long-haul fare by less than 1% for standard class passengers, but up to $62 for people travelling first class.
According to Benito Müller, environment director of the Oxford Institute for Energy Studies and author of the proposal for the LDCs, said the compulsory levy would have no significant effect on global passenger numbers and would have minimal negative impact on tourism. "By contrast, it will have significant positive impacts on the development of the poorest and most vulnerable countries and communities, by avoiding climate change impacts," he said.
Air freight was deliberately not included in the proposal, said Muller, because the levy is based on the principle of individual responsibility and capability to deal with climate change.
The idea of the levy is based on the successful French "solidarity contribution" of €1 which is charged to all passengers leaving France. This is expected to collect significant sums for the fight against major world illnesses, including HIV/Aids.
The attraction of the levy, Müller said, is that it is easy for the public to understand, simple to administer and is fair because it asks individuals who pollute to pay a minimal sum to the UN to help countries adapt.
Rich countries have already committed to paying poor countries to help them adapt to climate change but they have been at loggerheads over the best way to raise money and distribute it. A series of international meetings over the next six months — of which the Bonn meeting is the latest — will decide ahead of a major climate change conference in Copenhagen in December, at which a successor to the Kyoto treaty will be negotiated.
In contrast to the levy, some of the world's leading airlines and airport operators today proposed a different scheme to enable the aviation industry to contribute to the fight against climate change.
Air France/KLM, British Airways, Cathay Pacific, Virgin Atlantic, airport operator BAA and international NGO the Climate Group have proposed that individual airlines should obtain pollution permits in proportion to the carbon content of their annual fuel purchases.
The airline industry said its scheme would ensure equal treatment for all airlines and open the way to global emissions trading within the sector —and possibly with other industries such a electricity generation.
Proceeds from auctions of the permits would be split between the UN's adaptation fund for developing nations, and an initiative that aims to save forests in poorer nations in return for tradable carbon credits.