Swiss and Lufthansa Announce Fare Increases Due to Environmental Regulations

This week, Swiss International Air Lines and its parent company, the Lufthansa Group, announced fare increases for flights departing from Europe to offset the costs of meeting new European Commission environmental regulations. Starting January 1, 2025, passengers flying from the UK, Norway, Switzerland, or any of the 27 EU nations will incur a surcharge ranging from €1 to €72, depending on the flight’s length and ticket price. The fare hike is intended to cover the airline’s expenses related to the mandatory use of sustainable aviation fuel (SAF), which is significantly more expensive than traditional kerosene. Current regulations require SAF to make up 2% of aviation fuel by 2025, increasing to 70% by 2050. As the supply of SAF is limited and costly, the airline will pass these additional expenses onto passengers. Despite SAF being promoted as environmentally friendlier, its effectiveness depends on sustainable production practices, and it could potentially compete with food production for land use.