Source · Select Committees · Environmental Audit Committee

Recommendation 24

24

Aviation sector's carbon emissions are not fully paid for, creating artificial cheapness.

Conclusion
The aviation sector does not fully pay for its carbon emissions, whether this is through the lack of a direct carbon tax, VAT on its fuel, or the greater benefits it receives through the Emissions Trading Scheme compared to other high emitting sectors. This makes aviation artificially cheap and provides the industry with benefits other essential sectors do not benefit from. (Conclusion, Paragraph 111)
Government Response

A response document is linked to this report, dated 12 January 2026. Response attribution to this conclusion has not been verified. Read the response document ↗