The Global Solidarity Levies Task Force (GSLTF) develops internationally coordinated levies that aim to mobilize climate finance and promote climate justice. The GSLTF has commissioned CE Delft to conduct an impact assessment of four different aviation policies: A jet fuel levy for commercial aviation, a ticket levy, a frequent flyer levy and a private jet fuel levy. The effects are modelled with the European aviation model AERO-MS. For each aviation levy, the study analyses revenues, climate impact, distributive effects, spill-over effects and legal feasibility.
Among the policy options, a jet fuel levy on commercial aviation performs best with respect to mobilizing climate finance and promoting climate justice. It achieves substantial CO₂ emission reductions (approximately 10%) and offers high revenue potential (€84 billion). However, carbon leakage risks are high and its legal implementation is challenging.
In contrast, a ticket levy is somewhat less effective, with a 6% reduction in CO₂ emissions and €62 billion in revenue generation. Nonetheless, it benefits from greater legal and administrative feasibility, making implementation more straightforward.
The Frequent Flyer Levy ranks well on progressivity, as it shifts a larger share of the burden to higher-income individuals, i.e., those who fly more frequently. Nonetheless, it faces greater implementation challenges and is less feasible in practice.
Finally, the private jet fuel levy, although addressing only about 2% of global aviation emissions and generating relatively modest revenues (€6 billion), performs well on distributive impact (only very high-income groups are affected), and is easier to implement legally than a fuel levy applied to commercial flights.