Making Aviation Pay

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This new briefing, produced by Green Alliance, recommends raising aviation taxation to remove the disparity with road fuel taxation. It estimates that the government could raise an additional £2.5 billion a year by 2013 by this means. A recent analysis by the Policy Studies Institute, ‘A new basis for aviation taxation’, suggests that the government should reform aviation taxation at the same time as increasing its level, replacing the air passenger duty (APD) with a per-plane duty (PPD). This would give airlines a much greater incentive to reduce the environmental impact of planes. Revenue from green taxation fell in the previous parliament, but the new coalition government has committed to increasing it. Raising aviation taxation at this stage should be the first in a series of positive tax reforms that would enable less taxation of the things we want to encourage, like job creation and innovation, in favour of the things we would like to reduce and prevent, like pollution and fossil fuel use.
http://www.greenalliance.org.uk/uploadedFiles/Themes/Sustainable_Economy...
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http://www.psi.org.uk/research/project.asp?project_id=223