Translations: L’IATA annonce un événement d’approvisionnement en unités d’émissions admissibles à l’intention des compagnies aériennes (pdf)
国际航协将推出航空公司CORSIA合格排放单元采购活动 (pdf)
Miami – The International Air Transport Association (IATA) announced at its World Sustainability Symposium (WSS) that airlines will have the opportunity to buy Eligible Emissions Units (EEU) at a bespoke Procurement Event scheduled for the last quarter of 2024 on the Aviation Carbon Exchange (ACE). This event is being organized by IATA with the State of Guyana, Mercuria, and Xpansiv and is open to all airlines.
The EEUs on offer will be useable by airlines in fulfilling their Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) Phase 1 offsetting obligations. These obligations cover traffic for the period 2024-2026. The EEUs must be canceled by 31 January 2028.
The event provides an important procurement opportunity amidst ongoing scarcity of CORSIA eligible EEUs. At present, the State of Guyana is the only source of such EEUs. IATA estimates that airlines will need between 64 and 162 million EEUs for Phase 1 of CORSIA, depending on how traffic evolves. Guyana has already made sales from the 7 million issued EEUs and uncommitted volume will be available at the Procurement Event. “This is the first time such an event is being organized, and it couldn’t come sooner. States agreed to CORSIA, but so far Guyana is the only country fulfilling its obligation to make the needed carbon credits available. CORSIA is critical to aviation’s decarbonization efforts, and this event will be a clarion call that states need to make it possible for airlines to comply by releasing the requisite EEUs,” said Marie Owens Thomsen, IATA’s Senior Vice President Sustainability and Chief Economist.
This event is an important step in the development of an efficient market for EEUs, the early release of which (ahead of reporting deadlines) is essential to promoting liquidity and transparency, and to preventing a late rush on limited supply that would likely add significant costs to airlines’ decarbonization with no additional benefits.
"It takes a lot of effort to build the capabilities for generating CORSIA-eligible EEUs. Guyana is proud to be contributing, but we also want to see a large, active market. Many other countries have made progress towards creating credit supply, but before they commit to going further, they are waiting to see if the market delivers results. As the first mover in the market, we want to prove to other countries that it's in their best interests to move forward. They should feel confident that they will receive fair prices for their credits and that accelerating the remaining work is worthwhile. This procurement event provides a further chance to create that confidence," said Pradeepa Bholanath, Senior Director, Climate Change, Ministry of Natural Resources of the Government of Guyana.
About EEUs
Under CORSIA, airlines must purchase and cancel “emissions units” to offset the increase in CO2 emissions covered by the scheme. To maximize CO2 emission reductions under CORSIA, states must offer sufficient quantities of EEUs. The carbon offset credits that meet certain criteria defined by the International Civil Aviation Organization (ICAO) are called CORSIA EEUs and they are calculated to equate to one tonne of CO2 emissions generated through emissions reduction programs that comply with the strict eligibility criteria approved by ICAO. At the same time, the host countries must authorize the usage of those units for the purpose of CORSIA by conducting corresponding adjustments, to ensure those EEUs are not double claimed as part of a country’s Nationally Determined Contribution (NDC) under the UNFCCC Paris Agreement.
About ACE
The IATA Aviation Carbon Exchange, or ACE, is a centralized marketplace for CORSIA eligible emission units where airlines and other aviation stakeholders can trade CO2 emission reductions for compliance or voluntary offsetting purposes. The exchange is powered by Xpansiv’s CBL spot trading platform, providing a secure, intuitive destination for airlines to access real-time data with full price transparency.
Airlines trading on ACE benefit from IATA ‘s Financial Settlement Systems and Clearing House for seamless and risk-free settlement of funds. The exchange is open to all airlines, IATA and non-IATA members, and other aviation stakeholders including airports and aircraft manufacturers. Furthermore, the exchange is also accessible to carbon market participants wanting to list emissions reduction that are CORSIA compliant.
About the EEU Volume Event
Airlines will have the opportunity to purchase CORSIA Phase 1 eligible credits from the Guyana Jurisdictional REDD Program issued under the ART TREES Standard and supplied by Mercuria.
Airlines will be able to anonymously express their interest in the credits on the ACE platform. The purchase of the credits will be settled via the platform at the end of the event, with the option of using the IATA Clearing House or a Bank of America FBO (For Benefit Of) account set up in the airline's name for the payment. Mercuria will also be able to provide transaction options for forward and multi-year purchases.
About CORSIA
CORSIA is the only global market-based measure scheme to address CO2 emissions from international aviation. CORSIA is implemented in three phases, with an initial voluntary period (2021-2026) followed by a mandatory phase starting in 2027 for most countries. The scheme also requires airlines to monitor, report, and verify their emissions to ensure transparency.
For more information on CORSIA, please refer to IATA’s CORSIA Handbook (pdf).
For more information, please contact:
Corporate Communications
Tel: +41 22 770 2967
Email: corpcomms@iata.org
Notes for Editors:
- IATA (International Air Transport Association) represents some 330 airlines comprising over 80% of global air traffic.
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