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Norway ready to ditch air passenger tax

 

Norway's governing party has announced plans to scrap the $9.30 tax levied on all airport passengers. The tax, imposed last June, has been linked to the closing of Oslo's second airport after Ryanair walked away because  of the tax.

But that doesn't mean there'll be no tax. Both the party proposal and the Prime Minister, Erna Solberg, say it will be replaced by a variable charge that will be based on environmental impact. The tax was justified as a charge to help reduce carbon emissions.

Other countries have used air passenger taxes for similar reasons, with varying results, and most have been removed after their potential for diverting traffic to other countries and carriers hit. Britain, which had the highest and longest-lasting, scaled its fees back last year after years of protest by airlines and tourism agencies.

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