Aviation carbon emission tax at ‘minimal cost’ to consumers

 

Airlines have asked to impose a carbon emissions levy but the aviation consumer protection code must be amended first.

PETALING JAYA: Airlines will be allowed to impose additional fees to cover their carbon emissions, transport minister Loke Siew Fook said today.

However, it would not be mandatory for all airlines, and “will come at a very minimal cost,” he said after a ministry event in Putrajaya.

“Our objective is not to burden the consumer, but on the other hand we have this obligation, that every country must fulfil this obligation on carbon reduction,” Bernama quoted him as saying.

He said certain airlines would adopt a fee to purchase sustainable aviation fuel while others will pay a carbon credit to offset their carbon emission.

Loke had been asked to comment on Singapore’s decision to impose a green fuel levy on flights from 2026 and whether Malaysia would undertake a similar decision.

He said some airlines in Malaysia had written to the ministry “to request to be allowed to make certain changes for carbon levy, but that is not mandatory for airlines”.

The airlines are yet to impose the levy until the aviation consumer protection cCode is amended.

Loke said that imposing too much levy would ‘kill’ the industry and discourage people from flying, as well as harm the economy. - FMT