89. Deputy Maureen O'Sullivan asked the Minister for Finance the reason large polluters such as the airline sector were not considered for increased carbon related taxation as a means to make carbon taxes more equitable in view of the increase in carbon taxes and related climate change mitigation expenses being levied on many persons and households in budget 2020; and if he will make a statement on the matter. [42280/19]

The overarching legislative framework for the taxation of aviation fuels used in intra EU and international flights is in EU and international laws. EU Directive 2003/96/EC on the taxation of energy products and electricity, commonly known as the Energy Tax Directive, requires Member States to exempt certain fuels used for commercial aviation purposes from excise duty. The scope of this exemption must include jet fuel (which is the most commonly used heavy oil in air navigation) and must encompass such fuel used for intra-Community and international air transport purposes.

A Member State may waive this exemption where it has entered into a bilateral agreement with another Member State to tax fuel for intra-community flights. With regard to fuel for international transport, the scope for a Member State to take a unilateral approach to taxation is limited by international law and a range of bilateral and multilateral agreements that operate under 1944 Convention on International Civil Aviation (known as the Chicago Convention).

I am informed by Revenue that the breakdown of taxes levied on the different types of aviation fuel as provided for under the Finance Act 1999 and Energy Tax Directive are shown in the following table.

Since 2012, CO2 emissions from the aviation sector have been included in the EU Emissions Trading System (ETS) and the sector is therefore subject to a carbon pricing mechanism.