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CARBON OFFSETTING AND

REDUCTION SCHEME FOR


INTERNATIONAL AVIATION
(CORSIA)

December 2017
The context

According to the most recent IPCC figures, civil aviation


(national and international) accounts for about 2%
globally of CO2 emissions from human activity.

Despite significant advances in technology, aviation


emissions are expected to increase in the coming
decades. Indeed, the expected improvements in aircraft
fuel efficiency (1- 2% by 2050) will be exceeded by growth
in air traffic, estimated at around 5% per year over the
period 2010-2030.

International aviation fuel consumption is expected to


increase between 2.8 and 3.9 times by 2040 compared to
2010 levels.

Climate change is a global challenge, which requires


global efforts. In response, the international group for
aviation, ICAO began work in 2013 on addressing the
ambition and action of the civil aviation sector for climate
change:

• In October 2013, ICAO adopted Resolution


A38-18. ICAO and its Member States, and
organizations will work together to maintain global
net CO2 emissions from international aviation from
2020 at the same level ("carbon-neutral growth from
2020").

• A set of measures to contribute to the


achievement of the global objective of ICAO has
been defined, including: improved aircraft
technology, such as lighter fuselages, larger engines
performance, new certification standards,
operational improvements (eg ground operations
and air traffic management), sustainable
alternative fuels etc)

• However, the overall environmental benefits


achieved by measures other than market based
measures (MBM) are likely to be insufficient for the
international aviation sector to reach its ambitious
goal of carbon-neutral growth starting in 2020. A
global MBM program is required.

On August 23, 2017, 72 States, representing more than 87% of the aviation activity have
committed to participate voluntarily in the MBM of aviation in the form of an international
agreement, the Carbon Offsetting and Reduction Scheme International Aviation
(CORSIA).

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The main principles of the CORSIA market

• Carbon offsetting is the process through which a company or organization offsets its emissions of CO2 by buying credits
in the carbon market.

• These carbon credits are generated by setting up projects to reduce greenhouse gas emissions, in different parts of
the planet and especially in developing countries.

• The international agreement CORSIA is the device through which ICAO aims to offset the growth of its emissions from
2020, based on that same year.

• Included in CORSIA are international flights, operating between the voluntary countries of the agreement in a first
stage (2021-2026) and all countries in a second mandatory phase (2027-2035).

• Small Island Developing States, Least Developed Countries developed countries, landlocked developing countries,
and countries whose air traffic represents less than 0.5% will be exempt from these obligations but may decide to
participate voluntarily.

The countries involved

87.7 %
of international
aviation activity is
covered by the
agreement

80 %
of post-2020 growth
in GHG emissions is
covered by the
agreement

Voluntary states from 2021 Integration of CORSIA


Potentially exempt states
planned in 2027

1. Each airline operator shall:

• Estimate its CO2 emissions based on the fuel consumption achieved on the air routes included in the scope of CORSIA
for a given year;

• Achieve third party verification for its emissions

2. ICAO will collect all the emission data and estimate the growth in emissions for a given year compared to the baseline
year 2020 (the growth factor).

3. By using the growth factor (%) each operator will be able to calculate the amount of CO2 emissions to be offset:

Sector's growth Annual volume of


Operator’s annual emissions to be offset
factor for CO2
emissions (tCO2)
emissions (%)

4. The operator will then have to purchase carbon credits equivalent to the volume of annual emissions to be offset.
Each carbon credit corresponds to one tonne of CO2 equivalent (tCO2) reduced by an offsetting project.
Implementation steps
The timelines
72 States, representing more than
• In order to implement CORSIA from 2021, ICAO 2017 87.7% of the international
aviation activity, commit volunta-
is developing rules and procedures to define:
rily in the form of an international
agreement: CORSIA
- a monitoring, reporting and verification (MRV) 2018
system;
- the criteria to be met by carbon credits that
can be purchased by operators; 2019 Set reference
- the credit registries. scenario: Monitoring,
Reporting &
Verification
• These rules will ensure the environmental integrity
of the system by ensuring the quality and origin of 2020
the carbon credits exchanged.

• ICAO and the designated national bodies will 2021


accompany each participating State to ensure
the correct implementation of the agreement

Phase pilot
from 2021. 2022

• From 2022, the agreement will be reviewed Operators using the air

Voluntary phase
routes between the
every 3 years. voluntary states will
2023 have to offset their

What is next?
CO2 emissions based
on the average
increase in emissions
The implementation CORSIA is imminent. Air 2024 from the aviation
sector.
operators must therefore prepare now to

Phase one
integrate these new mechanisms. From 2018 the
main activities for airlines will be to: 2025

• Monitor fuel consumption and associated


CO2 emissions; 2026
• Disclosure emissions that will be subject to
third party verification;
2027
• Implement mechanisms to reduce CO2 Operators will have to
emissions, improve the operational and offset their CO2
technological performance of the sector's 2028 emissions on the basis
of the increase in
activities; average emissions
from the sector.
• Offset unavoidable emissions by purchasing 2029
carbon credits.
Obligatory phase

2030
Evolution of CO2
offsetting obligations
to absorb up to 20% of
2031 individual growth of
operators

2032

2033
Evolution of CO2
offsetting obligations
to absorb up to 70% of
2034 individual growth of
operators

2035

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We can help you...
• Measure your organisational carbon footprint.
• Report your emissions to third-party organisations.
• Reduce your carbon footprint.
• Offset your emissions.
• Achieve carbon neutrality.

Our experiance
We have extensive experience in the voluntary carbon market, we actively participate in discussions and ongoing
work on the functioning of CORSIA. In particular, we took part in the Global Sustainable Aviation Summit - as well as in
the 17th annual IEA-IETA-EPRI workshop on carbon markets.

EcoAct Group clients include:

Virgin Atlantic SEA Milano Manchester Airport Group


- Calculate the company’s carbon - Carbon neutrality program
- Offset its direct and indirect emissions
footprint, including Scope 3 categories - Manchester is the first UK airport to have
from Malpensa and Linate airports
- Support company’s CDP response achieved Level 3 + Airport Carbon
- SEA airports are recognised as carbon
Accreditation (ACA)
neutral by the Airport Carbon
Accreditation (ACA) program

Aérport Toulouse Blagnac Airbus Helicopters DGAC


- Calculate the carbon footprint of the - Offset emissions related to the transport - Design the methodology guide for the
airport including the activities from their of raw materials and industrial processes in use of the Bilan Carbone® method
suppliers, subcontractors and airport the manufacture of helicopters adapted to airports
service companies - The guide has been validated by ADEME
- Design of an updated carbon footprint and has been used as a basis for the
tool carbon inventory of most airports

Contact
Carbon Clear EcoAct EcoAct USA
enquiries@carbon-clear.com contact@eco-act.com ecoactUSA@eco-act.com
+ 44 (0) 20 3589 9444 + 33 (0) 1 83 64 08 70 +1 646 757 8174

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