Business
US Congress Opposes Carbon Emission Tax
The U.S. Congress has expressed readiness to oppose the imposition of carbon emission fax on airlines flying to Europe.
The E.U emission fax regime which is aimed at reducing pollution from airlines is a thorny diplomatic issue that has threatened to escalate transatlantic trade tensions.
House and Senate negotiators have agreed to a provision in sweeping aviation legislation that would put Europe on notice over its mandate for airlines worldwide to pay for carbon emissions while flying to Europe.
The bill is expected to be passed by congress in the coming weeks. The U.S. Congress is considering retaliatory step on its own to pressure Europe to retreat and negotiate a global emission policy for aircraft at the United Nations.
Europe said any congressional action over the law could harden diplomacy on both sides of Atlantic and potentially lead to a trade fight.
Members of the EU delegation to the U.S. are expected to meet with state department officials to review the latest developments with a view to resolving the matter amicably.
The U.S. Transportation Secretary, Ray Lattood, said “there are a lot of discussions going on and we need to continue to talk to them.”
He described the E.U law as a very bad scheme, saying that “I have told my colleagues in Europe that congress is very upset”,
U.S. based carriers affected by the E U policy include American Airlines, U.S Airways, United Airlines and Delta Airlines.
The airlines have increased their fares to accommodate the E.U emission fax regime.
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