Qantas: Australia carbon tax to increase fares

SYDNEY (AP) — Qantas says Australia's tax on carbon emissions will cost the airline 110 million to 115 million Australian dollars ($118 million to $123 million) for the 2013 financial year and lead to an increase in passenger fares.

The flagship Australian carrier is one of the first of the nation's major companies to release details of the financial impact of the tax. The tax will force the nation's 500 worst polluters to pay AU$23 for every metric ton of carbon they emit.

The government says the tax will help Australia lower its massive carbon emissions. It goes into effect on July 1, 2012.

Qantas said Monday that the tax will add an average of AU$3.50 to the price of a domestic flight ticket in the financial year ending June 30, 2013.