The domestic airline industry has embarked on talks with National Treasury around cost-effective solutions ahead of the looming Carbon Tax Bill which is expected to be implemented next year.
“Currently only domestic airlines are affected by the Carbon Tax Bill which exempts international airlines. But there is pending global legislation around carbon emissions for the international aviation industry and local industry is hoping to adopt the Carbon Offsetting and Reduction Scheme for International Aviation (Corsia),” said Airlines Association of Southern Africa (Aasa) CEO Chris Zweigenthal.
He believes this will eliminate the need for domestic airlines and international airlines to comply with two separate carbon offset initiatives. “The reduction of costs, or at least the containment of increases, remains a priority for the airline industry in Africa,” commented Zwiegenthal.
Corsia – which was adopted at the 39th session of the United Nations’ International Civil Aviation Organisation (Icao) Assembly in 2016 – comes into effect on a voluntary basis in 2021 until 2023. Phase 1 of the regulation will kick in from 2024 to 2026.
