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$2 Trillion US Stimulus Package Skips Emissions Requirements for Airlines


Included in the $2 trillion stimulus package is just under $60 billion for the airline industry, split evenly between grants and loans/loan guarantees. The airlines will also get a reprieve from paying certain taxes. In order to receive the aid, the airlines must agree to restrictions related to stock buybacks and executive compensation. Democrats in the House added a provision requiring reductions in emissions, but Republican leaders pushed back, calling it unrelated to the coronavirus crisis. The provision was removed, to the disappointment of some environmental groups.

Key Takeaways:

  • Republicans argued that emissions-cutting has nothing to do with the coronavirus crisis.
  • Counsel for the Environmental Defense Fund spoke out in favor of requiring emissions cuts.
  • The airlines will receive nearly $60 billion in grants and loans plus tax relief.

“House Democrats led by Nancy Pelosi originally wanted to include language in the deal that would force the country’s airlines to start offsetting emissions in 2025 and cut them in half over the next 30 years, Bloomberg reported.”

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