Tax on fossil fuels? New EU commissioner fights climate crisis

The EU candidate for climate commissioner wants global taxes on fossil fuels - reports "Financial Times". The money collected in this way would be used to further fight to improve the climate situation.

Tax on fossil fuels? New EU commissioner fights climate crisis
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Summary

  • Wopke Hoekstra, former foreign minister of the Netherlands and the EU's nominee for Climate Commissioner, has proposed a global tax on fossil fuels, including those used by airlines and shipping, to fund efforts against coal pollution in developing countries.
  • Current international regulations exempt global transport from fuel taxes, but the EU's emission trading system includes aviation and will extend to shipping next year. This could potentially increase airfare and shipping prices.
  • Hoekstra's nomination faced criticism from environmental groups and left-wing MEPs due to his perceived lack of experience in climate policy.
  • Despite the criticism, Hoekstra pledged to ensure the EU meets its goal of reducing emissions by 55% by 2030 and achieving climate neutrality by 2050. His plans include increasing the issuance of green bonds, mandating the withdrawal of fossil fuels covered by reductions, accelerating work on the EU directive on energy taxation, and increasing global support for the aviation fuel tax.

As reported by Financial Times, Wopke Hoekstra, former foreign minister of the Netherlands nominated by the EU as the Commissioner for Climate, has proposed a global tax on fossil fuels, including fuels used by airlines and shipping, to provide funds for a fund to help developing countries suffering from coal pollution. The new candidate for the climate commissioner emphasized that he will try to start international discussions on this topic in the near future.

International regulations exempt global transport from fuel taxes, although the EU's emission trading system does include aviation and will be extended to shipping next year. The consequence of imposing an additional tax on airlines could be an increase in airfare prices. The same may be the case with shipping.

Hoekstra's nomination initially sparked a sharp reaction from environmental groups, as well as left-wing MEPs, who claim that he lacks the appropriate experience in promoting climate policy. However, the politician announced that he will do everything in his power to ensure that the EU achieves its ambitious goal of reducing emissions by 55% by 2030 and achieving climate neutrality by 2050. He promised, among other things, to increase the issuance of green bonds, mandate the withdrawal of fossil fuels covered by reductions, accelerate work on the EU directive on energy taxation, and increase global support for the aviation fuel tax.