Aviation
IATA HITS EUROPEAN PARLIAMENT'S PLANS TO EXPAND EU ETS
June 10, 2022

The International Air Transport Association (IATA) recently hit the European Parliament's move to adopt proposed amendments to the EU Emissions Trading Scheme (ETS), which would expand its scope to include all flight departures from the European Economic Area (EEA) from 2024.

 

IATA warned that the decision would "threaten the prospects for major global decarbonisation efforts", adding that CO2 emissions of international flights departing EU/EEA airspace are already covered under CORSIA. 

 

IATA also said adoption of a long-term aspirational goal for the decarbonisation of aviation at the ICAO Assembly later in 2022 would be unlikely if Europe attempts to force third countries to adopt solutions developed for its internal market.

 

It added that this would also weaken and potentially dismantle the existing CORSIA agreement which states agreed would be the single global market-based measure applied to international aviation.

 

The trade organization also said expanding the EU ETS scope to include all flights leaving the EU would lead to "serious distortion of competition and weaken the global competitive position of EU airlines and hubs."

 

IATA director general Willie Walsh called for EU member states to avoid repeating "the mistake on the full scope ETS back initially proposed in 2012" when its attempt to impose ETS extra-territorially was rejected.

 

"The decision by the European Parliament is disturbing because it endangers international cooperation to tackle aviation's climate change impacts. We call on the European Council to clearly state its determination to seek a multilateral solution at ICAO's 41st Assembly later this year and to strongly reject the expansion of ETS voted by the Parliament," Walsh said.

 

"The best thing that the EU could do for aviation's decarbonization is work towards a global agreement for international aviation. This signal by the EU Parliament that it is moving away from the CORSIA agreement will inevitably distract from the multilateral cooperation that is essential for any increased ambition for international aviation to address climate change," the IATA chief added.

 

"The impact of any regional initiative by the EU will be quickly neutralised or worse if it derails decarbonisation efforts in faster-growing markets outside of Europe," Walsh further said.