ICAO warns EU moves could result in double charges for carbon emissions

The International Civil Aviation Organization (ICAO) expressed concern that the proposal to expand the scope of the EU Emissions Trading System (EU ETS) for aviation from 2029 would undermine the only globally harmonized measure applying to CO2 emissions from international aviation and result in duplicative measures. While ICAO recognizes the efforts made by the EU to support the ICAO Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), a unilateral expansion of the EU ETS for aviation, as proposed by the European Commission on 17 July 2026, would be inconsistent with CORSIA’s objective. CORSIA is the only global market-based measure applying to CO2 emissions from international aviation. It has been approved by ICAO Member States since 2016, with the European Union and its Member States playing an instrumental role in building consensus towards this globally harmonized solution. Expanding the EU ETS for aviation would introduce the potential for double charging for CO₂ emissions from international aviation, with implications for the effective implementation of CORSIA. The proposal also risks fragmenting global aviation decarbonization efforts and jeopardizing the achievement of ICAO’s collective global aspirational goals for the international aviation sector. Meanwhile, the International Air Transport Association (IATA) said it is deeply frustrated at the proposed extension of the European Emissions Trading Scheme (EU ETS) beyond Europe’s borders, an approach that was discredited over a decade ago. “The EU is repeating a historic error. The consequences will be harmful—sowing acrimony over extraterritoriality, slowing global decarbonization, and sapping European competitiveness—with European travelers and businesses paying the price,” said Willie Walsh, IATA’s director general. “Instead of expanding the EU ETS beyond Europe’s borders, the EU should focus on making CORSIA—the agreed global mechanism—even more successful. Increasing SAF allowances and enabling a book-and-claim system for SAF could be promising steps, but the details are critical to success. We will engage with European policy makers towards a more effective approach with no extraterritoriality, full support for CORSIA, and effective SAF incentives.” For Editorial Inquiries Contact: Editor Matt Driskill at [email protected] For Advertising Inquiries Contact: Head of Sales Sally Passey at [email protected]