Eu Seeks Carbon Tax For All Flights Over Europe

Youth unemployment in Spain and Greece is above 50%; while rates in Portugal, Italy and Ireland are all above 30% (CNN) — The head of the International Monetary Fund is warning European governments against complacency despite the region returning to growth earlier this year for the first time since 2011. Speaking at the Fund’s headquarters in Washington DC, managing director Christine Lagarde told CNN’s Richard Quest that member states cannot afford “fatigue” on their commitments to create jobs and to shore up the region’s banks. Europe out of limelight Europe has been spared some market scrutiny recently, as headlines shifted to the U.S. debt ceiling negotiations and the Federal Reserve’s bond-buying program. Europe’s energy challenges Solving Portugal’s economic woes Lagarde said that leaders in the currency union will be eager to remain out of the limelight. Is Serbia ready for EU membership? And last year European finance ministers approved a 39.5 billion euro ($51.6 billion) lifeline for Spain’s banks, struggling after the property bubble went bust. In return for state aid, creditors have imposed strict rules on debtor nations, forcing them to carry out harsh austerity measures. However, that strategy has come under question. Mujtaba Rahman, Europe director at Eurasia Group, said Germany may believe austerity is working but “clearly there’s a strand that believes otherwise.” Some eurozone economies, he noted, believe they have improved after easing off on austerity. Tackling youth unemployment Lagarde, a former French finance minister, also highlighted youth unemployment as the biggest priority on the policy-making agenda. She said: “Countries have to do their job; the IMF will help the process as well so we have to partner goodwill, the money available and political determination to focus on the right issues.” Youth unemployment in Spain and Greece is above 50%, where strict austerity programs are in place, while rates in Portugal, Italy and Ireland are all above 30%. Widespread unemployment has led to anti-austerity protests in the worst-hit nations with many demonstrations turning violent. But Rahman believes that youth unemployment is a problem that must be tackled by domestic governments rather than at the European level. He added: “It’s clear that politicians are not willing to mobilize a large amount of resources within the EU budget to tackle the problem of youth unemployment, not in a meaningful way.” He added: “At the margin there may be a commitment do something but this isn’t meaningful.” CNN’s Oliver Joy contributed to this report

Christine Lagarde warns against ‘complacent’ Europe

Wednesday’s proposal by the 28-nation bloc’s executive arm would force airlines to buy Post to Facebook EU seeks carbon tax for all flights over Europe on Incorrect please try again A link has been posted to your Facebook feed. Sent! A link has been sent to your friend’s email address. 1 To find out more about Facebook commenting please read the Conversation Guidelines and FAQs EU seeks carbon tax for all flights over Europe The Associated Press 7:40 a.m. EDT October 17, 2013 A passenger plane after takeoff from Switzerland’s Geneva International Airport on March 11, 2010. (Photo: AFP/Getty Images) SHARE 8 CONNECT 32 TWEET 1 COMMENTEMAILMORE BRUSSELS (AP) – The European Commission wants to impose carbon emission charges for all flights using Europe’s airspace. Wednesday’s proposal by the 28-nation bloc’s executive arm would force airlines to buy carbon emission permits for all flights within Europe but also for the parts of intercontinental flights that use the bloc’s airspace. OTHER NEWS: Lufthansa 747-400 heads to Tulsa for disassembly That means, for example, that a U.S. airline flying from New York to Frankfurt would have to buy pollution rights under the EU emission trading system for the part of the route within Europe’s airspace. The proposal still requires approval from the European Parliament and the bloc’s member states. The Commission hopes it will enter into force next year. The legislation would apply until 2020 when a recently agreed international airline carbon emissions tax scheme comes into force. Copyright 2013 The Associated Press. All rights reserved.

Europe faces new wave of oil refinery extinctions

But as demand for gasoline sharply declined in recent years in favour of diesel, refineries today face a huge surplus of gasoline which is increasingly hard to sell overseas as demand from the United States weakens. At the same time, massive state-of-the-art refineries in the United States, Asia and the Middle East are sending ever-growing volumes of diesel to Europe. And as they benefit from cheaper feedstock and lower energy costs, they can easily compete against Europe’s regional refiners. “Cheap gas is making a huge difference to the profitability of U.S. refining industry. The loser is Europe. It has to be. There is no consolidation going on and no great consolidation hope,” Torbjorn Tornqvist, chief executive officer of trading house Gunvor told the Oil & Money conference this month. Diesel imports from Russia, Asia and the U.S. Gulf Coast reached a record 4 million tonnes in September, according to traders. “The trend of U.S. exporting products is going to continue, you’re going to see diesel coming from the United States to Europe for the foreseeable future,” the head of Glencore’s oil division Alex Beard said this month. 2013 may go down as one of the weakest in recent decades, as refining margins in the third and fourth quarter plummeted due to high crude costs and weak product demand. Total, Europe’s biggest refiner, said refining margins in the region had dropped to a near four-year low of $10.6 per tonne in the third quarter. Other than the old, simple East European refineries, plants in coastal areas such as Italy that are easily accessible for importing remain the most vulnerable.