Plans to make European airlines pay aviation fuel tax and subscribe to the EU's carbon emissions trading scheme will be disastrous to tourism, warn industry experts.

Last week's proposals were intended to influence the European Commission as it drafts laws designed to cut greenhouse gas emissions by the aviation industry.

But experts predict the recommendations, put forward by the European Parliament, would have a devastating impact on the region's tourism. Stephen Dowd, chief executive of UK tourism trade body UKinbound, said the move would force holiday-makers to fly further afield - causing more damage to the environment and the EU tourism industry.

"The laws would only apply on intra-European flights, meaning tourists would choose destinations like Morocco and Tunisia over EU destinations," he said.

David Bailey, director at hotel consultancy TRI, agreed that if the proposals were ratified, the leisure travel market would suffer.

"Anything that adds to the cost of a holiday is not good news," he said. "Business people will continue to travel because they have to, but the extra costs may affect the leisure market because that's more discretionary."

World Travel and Tourism Council president Jean-Claude Baumgarten urged the commission to consider how extra taxes would affect the 24 million workers in the EU's tourism industry. He said the real issue was a lack of airport infrastructure to deal with increasing European flights.

"We have an [airport] infrastructure reaching breaking point, resulting in aeroplanes circling over airports because of congestion, causing detriment to the environment," said Baumgarten.

Emission trading scheme proposal

• Will be introduced in 2008, but may be delayed until 2010.
• GreenSkies Alliance predicts passengers will pay up to £20 per flight to cover the cost of the CO2 permits for flights within Europe.
• Proposals recommend aviation fuel shouldn't be exempt from VAT. 
• UK aircraft emitted 33.5 million tonnes of CO2 in 2004 - 6.5% of all the UK's carbon emissions.

By Ross Bentley