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Image header Agence Europe
Europe Daily Bulletin No. 13507
Contents Publication in full By article 17 / 26
ECONOMY - FINANCE - BUSINESS / Taxation

Energy taxation - Presidency of EU Council proposes extending existing exemptions for aviation and shipping until 2035

The Hungarian Presidency of the EU Council will present its proposal to extend energy taxation exemptions for the aviation and maritime sectors until 2035, at the meeting of the working party on indirect taxation on Wednesday 23 October.

According to a European source contacted by Agence Europe on Friday 18 October, the new text, dated Wednesday 16 October, is accompanied by a ‘steering note’ from the Presidency, which explains that it plans to present the text to ministers at the Ecofin Council, scheduled for Tuesday 10 December.

The compromise proposal introduces a revision clause up to 2035. According to the text, no later than 31 December 2034, the European Commission should examine the possibility of air taxation and waterborne navigation and propose legislative amendments to the directive, as appropriate. The examination should primarily focus on the availability of sustainable alternative fuels and electricity and on the international developments.

On Wednesday 16 October, the European Rail Supply Industry Association (UNIFE) called for the aviation sector to be taxed to allow fair competition between air and rail passenger services (see EUROPE 13505/22). (Original version in French by Anne Damiani)

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