Oireachtas Joint and Select Committees

Wednesday, 1 March 2023

Committee on Budgetary Oversight

Report of the Commission on Taxation and Welfare: Discussion (Resumed)

Ms Marie Donnelly:

One of the complicating factors when it comes to aviation is its global nature and the competition between European and non-European aviation companies and firms. If Europe brings in charges that only apply to European airlines, this will place them at a competitive disadvantage vis-à-visinternational airlines. Therefore, it is again a little like what we talked about with Japan and India. The challenge is in trying to get everyone to move together in order to get progress in this area. There is one key aspect that Ireland and other countries could and should be researching more, namely, sustainable aviation fuels. This may well be a real opportunity for Ireland, perhaps not in this decade but in the next, given the natural resources we have from offshore wind, our capacity to electrify and our ability to produce electricity and hydrogen. Perhaps out of that, we could become a player in the context of sustainable aviation fuel.