Subject category:
Strategy and General Management
Published by:
Amity Research Centers
Length: 9 pages
Data source: Published sources
Abstract
The growth of the international aviation industry was triggered by the increasing demand of air travellers worldwide. As a result, airline companies throughout the world were in the process of expanding their services thereby introducing more aircraft and launching new low cost carriers. Due to the introduction of new flights and carriers, the frequency of air travel enhanced significantly. It induced airline companies and the whole industry responsible for affecting the environment drastically. Experts observed that the global aviation industry contributed 3% of total carbon emission in the environment. Also, they predicted that the carbon emission from this industry could inflate to 15% by 2050. Further, the environmentalists and scientists pointed out that the aviation industry would pay the fuel tax against the damages occurred due to the emission of greenhouse gases in the environment. Hence, they suggested that imposing a fuel tax on the aviation sector could minimise the pollution level in the environment. Erstwhile, this industry was exempted from fuel tax. Though a few countries like America and Japan levied tax only on domestic flights, it was not sufficient to reduce the actual pollution level. However, some countries like Australia and USA were opposed to imposing tax on the global aviation sector, highlighting that it might affect the aviation industry and hit the economy. So, it remained to be seen whether imposing a fuel tax on the aviation industry could combat global warming and maintain the bridge between environment protection and the economy of the global aviation industry.
About
Abstract
The growth of the international aviation industry was triggered by the increasing demand of air travellers worldwide. As a result, airline companies throughout the world were in the process of expanding their services thereby introducing more aircraft and launching new low cost carriers. Due to the introduction of new flights and carriers, the frequency of air travel enhanced significantly. It induced airline companies and the whole industry responsible for affecting the environment drastically. Experts observed that the global aviation industry contributed 3% of total carbon emission in the environment. Also, they predicted that the carbon emission from this industry could inflate to 15% by 2050. Further, the environmentalists and scientists pointed out that the aviation industry would pay the fuel tax against the damages occurred due to the emission of greenhouse gases in the environment. Hence, they suggested that imposing a fuel tax on the aviation sector could minimise the pollution level in the environment. Erstwhile, this industry was exempted from fuel tax. Though a few countries like America and Japan levied tax only on domestic flights, it was not sufficient to reduce the actual pollution level. However, some countries like Australia and USA were opposed to imposing tax on the global aviation sector, highlighting that it might affect the aviation industry and hit the economy. So, it remained to be seen whether imposing a fuel tax on the aviation industry could combat global warming and maintain the bridge between environment protection and the economy of the global aviation industry.