Wizz Air Calls for Ending Fossil Fuel Subsidies

Wizz Air has warned that aviation is not moving fast enough on climate change and called for “radical change” to keep net zero goals on track.

The low-cost airline called for governments to phase out fossil fuel subsidies and redirect the money into greener jet fuels, which are seen as the key solution to reduce emissions in aviation.

The Hungarian carrier, which flew over 60 million passengers in 2024, recently launched its own roadmap to reach net zero by 2050. 

“Radical change needs to happen. Subsidies have to be redirected into renewable energy,” said Yvonne Moynihan, corporate & ESG officer at Wizz Air.

Moynihan told Skift that some airlines have included hydrogen in their roadmaps, but that Wizz Air excluded it and instead focuses on "realistic levers.”

“We understand that the most realistic decarbonization levers are ones that we already have, which are improvements in current aircraft and engine technology and sustainable aviation fuel (SAF).

“We need to kick start the production of SAF, this is the best chance for airlines to decarbonize.”

California SAF Investment

Moynihan pointed to California as an example of how government incentives can rapidly grow the SAF market.

She said despite recent political setbacks in U.S. federal climate policy, California has tried to incentivize the production of SAF with tax breaks. 

“In spite of the current political environment, 90% of the world's SAF is being produced in California and that is because the government introduced tax incentives and tax breaks. This is the type of mechanism or instrument that's needed to really stimulate further supply. The demand is there, so really the issue is the supply,” Moynihan said.

Paying For Emissions

Wizz Air said it supports the EU’s Emissions Trading System (ETS), which is partly designed to raise funds to support decarbonization of sectors such as aviation.

But Moynihan said the system needs to be reformed because it unfairly penalizes short-haul airlines.

A recent report from Transport & Environment highlighted that low-cost carriers are paying more into the fund than long-haul airlines, as the ETS rules do not apply to international flights.

“Short-haul airlines are, in effect, subsidising the longer-haul carriers,” Moynihan said. “Those airlines have higher profit margins and emit more — yet they’re not subject to the same carbon costs.”

She added that Wizz has raised this issue multiple times with the European Commission, and called for the ETS to be extended to flights departing the EU to create a “level playing field.”

Fossil Fuel Subsidies in Europe

Wizz Air’s call to redirect subsidies comes amid growing pressure on European governments to phase out public support for fossil fuels.

In the EU, fossil fuel subsidies come primarily from national budgets but are also supported by EU-level funds, particularly for energy infrastructure. 

The EU has previously said that most fossil fuel subsidies are due to be phased out by 2030.

According to Climate Action Network (CAN) Europe, only 6 of the EU’s 27 member states have even stated an intention to fully eliminate fossil fuel subsidies - and none have set clear deadlines.

The EU did not respond to Skift's request for comment on fossil fuel subsidies.

Skift’s in-depth reporting on climate issues is made possible through the financial support of Intrepid Travel. This backing allows Skift to bring you high-quality journalism on one of the most important topics facing our planet today. Intrepid is not involved in any decisions made by Skift’s editorial team.

Curated by Meghna Maharishi

Airline Reporter

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