German airlines blast new eco-tax

Airlines continued to criticize the German government's decision Wednesday to implement an "ecological air travel levy" on passengers that is intended to raise €1 billion ($1.27 billion) annually. Tax revenues will go into the general treasury and are not dedicated to environmental measures. The new tax, part of the government's austerity measures, puts Lufthansa at "a disadvantage" owing to its escalating scale dependent on distance flown, the airline said (ATW Daily News, Sept. 2).

LH said in a statement that its "global connections" will take a hit because passengers will look to avoid transferring at German hubs to bypass the fee. Air Berlin CEO Joachim Hunold told Reuters, "If a four-member family has to pay €120 more for a holiday in Egypt, then the little man is being burdened again." German Finance Minister Wolfgang Schaeuble said there was no choice but to implement the fee immediately for ticket purchases for flights starting Jan. 1 to avoid "a rush in ticket-buying aimed at pre-empting the tax."