Following the recent UK publication of the Stern report on the effects of climate change, Ryanair has dismissed calls for green taxes on aviation as the “usual horseshit” and warned that extra levies on airlines will not put people off flying.

Michael O’Leary, chief executive of the low-cost carrier, also ruled out joining the EU carbon emissions trading scheme, seen by some airlines as their best hope of avoiding punitive taxes as governments consider curbing the industry’s contribution to the greenhouse effect.

“It’s the usual horseshit that we hear,” he said. “There is a fundamental misunderstanding about aviation and environmental taxes at the moment. No one knows what they are talking about.”

Mr O’Leary said aviation accounted for a “Mickey Mouse” 3% of carbon emissions across the EU, compared with nearly 25% from road transport, which he said had not been affected by petrol levies and other charges. He added that Ryanair’s growth will not be affected by further taxes because its ticket prices will remain more competitive than its rivals’.

“Taxing aviation will not affect the growth of Ryanair one iota,” he said. “We will continue to grow like gangbusters because the price differential between Ryanair and easyJet and British Airways will not change.” Recent economic studies contradict Ryanair, pointing to evidence that a price increase of 1.5% is enough to put some people off flying.

Speaking at the launch of an in-flight gaming service in London yesterday, Mr O’Leary said the government should focus on British Airways, which he said operates a “gas-guzzling” fleet of older aircraft. “If people are serious about tackling the minuscule contribution of aviation, what they ought to be tackling are the operators of the old gas-guzzling aircraft like BA or those who run two flights to get you to your destination, unlike low-fares airlines.” A spokesperson for BA said the claims were “just not true” because the airline’s 280-strong fleet has an average age of 10 years and it has started replacing its oldest long-haul aircraft.

Mr O’Leary also dismissed Sir Richard Branson’s pledge to invest $3bn (£1.6bn) in renewable energy over the next decade as a “PR stunt” because the billionaire expects to fund the promise from the profits of his transport interests, which include the Virgin Atlantic airline and Virgin Trains. “I doubt if the profit will get to $3bn over the next 100 years, let alone the next 10,” he said.

Ryanair recently announced that it had formed a gaming partnership with Internet bingo group Jackpotjoy, adding another new revenue stream as it seeks to boost cash flow from areas other than ticket sales. Ryanair said in a statement the deal would allow passengers to play bingo while booking their flights, car hire, and hotels on its web site.

Ryanair recently announced that it has been forced to postpone the introduction of new flights between European and Moroccan destinations because of EU regulation delays. It said that flights from Marseille and Frankfurt to Fez, Marrakech and Oujda would not now start until December 1, though services from Luton, near London, to Fez and Marrakech, would begin as planned next month.”

And still on the theme of low cost airlines, Easyjet said that while it was clear that airlines ‘still have their part to play in safeguarding the environment’ it was important to note the European Commission’s own calculations, which state that aviation accounts for just 3% of CO2 emissions in Europe.

‘Calling for greater taxation on air travel is sloppy thinking and risks damaging the European economy as a whole,’ it said in a statement.