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European Airlines Impose Extra Charges in the Airlines Ticket to Cover the Cost of Sustainable Fuels

By Aarti Dhapte , 05 November, 2024

Clean fuel targets in the energy market are the new normal for moving towards green energy transformation. The energy market is adopting different methodologies to solve the environmental problems. In order to limit carbon emissions in the environment is one of the main goals of the clean energy transition in 2024. Therefore, European airlines charged extra to compensate for clean fuel costs in 2024.

Deutsche Lufthansa AG is Europe's biggest airline group. Lufthansa announced introducing an extra charge to passengers per flight journey in 2024. The aviation industry is finding ways to induce sustainable activities to boost clean energy transition. Hence, using clean fuel instead of conventional jet fuel will reduce carbon emissions by 80 percent in the environment. The recent announcement from Europe's largest airline, Lufthansa Group, that introducing surcharges will cover the cost of clean fuel. Airlines are introducing extra charges per flight to cover the cost of production of clean fuels. The recent announcements on surcharges per flight have decided to apply this to all tickets from the last week of June 2024 till the 1st of January 2025. The airline group plans to impose these extra charges to compensate for sustainable aviation fuel production expenses.

Experts claim that sustainable aviation fuels are made from non-petroleum feedstocks. However, it can be blended with alternatives if needed. It helps to reduce carbon emissions effectively, hence being helpful for a progressive clean energy transition. The global aviation industry plans to reduce carbon emissions and achieve zero carbon by 2050. The production and transportation of sustainable aviation fuels require infrastructure.

Moreover, there is a minimal supply of clean fuel, but a greater demand for sustainability exists. Aviation companies are investing actively in sustainable technologies; hence, they need funding for this. Additionally, consumers are increasing awareness of climate change results in their willingness to pay the extra charges imposed on airline tickets. Thus, all these factors lead airlines to impose additional charges per flight ticket until January 2025.

      Growth of sustainable aviation fuel blending quota allowed by european commission

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Aarti Dhapte

Team Lead - Research