CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) aimed at offsetting emissions from international flights.

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) was established by the International Civil Aviation Organization (ICAO) to address the growing concern over carbon emissions from international aviation. This review synthesizes key findings from various research papers and reports regarding the primary objectives of CORSIA and its definition of “carbon-neutral growth.”

Primary Objectives of CORSIA

CORSIA aims to achieve carbon-neutral growth in international aviation from 2020 onwards.

The scheme’s primary objectives include:

  1. Mitigation of CO2 Emissions: CORSIA is designed to offset any increase in CO2 emissions from international flights above 2020 levels. This is crucial as the aviation sector is a significant contributor to global greenhouse gas emissions, with international aviation alone accounting for approximately 1.3% of global CO2 emissions (Abeyratne, 2017). The scheme requires airlines to purchase carbon credits to compensate for their emissions, thereby promoting investment in emission reduction projects outside the aviation sector (Chao et al., 2019).
  2. Global Participation and Compliance: CORSIA encourages voluntary participation in its initial phases (2021-2026), transitioning to mandatory participation for all member states from 2027 onwards, with certain exemptions for least developed countries and small island states (Chao et al., 2019). This phased approach aims to ensure broad compliance while considering the varying capabilities of different countries (Goncalves & Anselmi, 2019).
  3. Market-Based Mechanism: CORSIA operates as a market-based measure (MBM), allowing airlines to offset their emissions through the purchase of carbon credits generated from approved projects. This approach is intended to provide flexibility and economic efficiency in achieving emission reduction targets (Schinas & Bergmann, 2021).
  4. Support for Sustainable Aviation Fuels (SAFs): CORSIA promotes the use of sustainable aviation fuels as part of its strategy to reduce emissions. The scheme recognizes that technological advancements and operational improvements, alongside the adoption of SAFs, are essential for achieving its objectives (Hamdan et al., 2022).

Definition of “Carbon-Neutral Growth”

CORSIA defines “carbon-neutral growth” as the stabilization of net CO2 emissions from international aviation at 2020 levels. This means that any increase in emissions resulting from the growth of air traffic must be offset by equivalent reductions elsewhere. The baseline for this calculation is set as the average emissions from international aviation during the years 2019 and 2020 (Leclerc, 2019).

  1. Baseline Emissions: The baseline emissions are critical for determining the offsetting requirements for airlines. CORSIA mandates that airlines must offset any emissions exceeding this baseline, thereby ensuring that the growth in air traffic does not lead to an increase in overall emissions (Abeyratne, 2017).
  2. Long-Term Goals: While CORSIA focuses on carbon-neutral growth from 2020, it also aligns with broader climate goals, including the Paris Agreement’s targets for significant reductions in greenhouse gas emissions by 2050. The scheme aims for a 50% reduction in emissions from 2005 levels by 2050, indicating a long-term commitment to sustainability in the aviation sector (Leclerc, 2019).
  3. Implementation Phases: CORSIA is structured in three phases: a pilot phase (2021-2023), a first phase (2024-2026), and a second phase (2027-2035). The initial phases are voluntary, allowing countries to opt-in, while the second phase will be mandatory for all participating states, thereby reinforcing the commitment to carbon-neutral growth (Chao et al., 2019).

Implementation Phases of CORSIA

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) is a significant initiative established by the International Civil Aviation Organization (ICAO) to mitigate the impact of aviation emissions on climate change. CORSIA is structured into three distinct phases, each with specific objectives, participation requirements, and activities. This literature review synthesizes findings from various research papers and reports regarding the implementation phases of CORSIA, focusing on the pilot phase (2021-2023) and subsequent phases.

Overview of CORSIA Phases

CORSIA is implemented in three phases: the pilot phase, the first phase, and the second phase. Each phase has unique characteristics and requirements, as outlined below:

Pilot Phase (2021-2023)

  • Participation: The pilot phase is voluntary, allowing states to opt-in based on their willingness to participate in the scheme. As of July 2020, 88 countries had announced their participation, representing a significant portion of international aviation traffic (Chao et al., 2019). This phase is crucial for testing the operational aspects of CORSIA and gathering data on emissions.
  • Key Activities: During this phase, airlines are required to monitor and report their CO2 emissions. The baseline for emissions is set as the average emissions from 2019 and 2020, although the COVID-19 pandemic has led to discussions about using only 2019 emissions as the baseline due to significantly reduced air travel in 2020 (Marke et al., 2022). The pilot phase serves as a testing ground for the monitoring, reporting, and verification (MRV) processes that will be essential in later phases (Chao et al., 2019).

First Phase (2024-2026)

  • Participation: Similar to the pilot phase, participation in the first phase remains voluntary. However, it is expected that more states will join as they observe the outcomes of the pilot phase. The participation of states is critical to achieving the scheme’s goals, as it aims to cover a substantial portion of international aviation emissions (Goncalves & Anselmi, 2019).
  • Key Activities: The first phase will continue the monitoring and reporting of emissions, with a focus on refining the offsetting requirements based on the data collected during the pilot phase. The baseline emissions will still be calculated using the average emissions from 2019 and 2020, and airlines will begin to face more stringent reporting requirements (Chao et al., 2019).

Second Phase (2027-2035)

  • Participation: The second phase marks a shift to mandatory participation for all ICAO member states whose airlines account for more than 0.5% of international aviation activities based on revenue tonne kilometers (RTKs) in 2018. Exemptions apply to least developed countries (LDCs), small island developing states (SIDS), and landlocked developing countries (LLDCs), which can choose to participate voluntarily (Goncalves & Anselmi, 2019); (Chao et al., 2019).
  • Key Activities: This phase will implement a more rigorous framework for offsetting emissions, requiring airlines to purchase carbon offsets for emissions exceeding the established baseline. The offsetting requirements will be based on individual airline emissions and the growth of the aviation sector, with a gradual shift from a sectoral to an individual approach in calculating offsets (Liao et al., 2022). The second phase aims to ensure that the aviation sector achieves carbon-neutral growth from 2020 levels, addressing any annual increase in total CO2 emissions (Goncalves & Anselmi, 2019).

Differences Between the Pilot Phase and Subsequent Phases

The pilot phase differs significantly from the subsequent phases in terms of participation and requirements:

Voluntary vs. Mandatory Participation: The pilot and first phases are voluntary, allowing states to choose whether to participate. In contrast, the second phase mandates participation for most states, creating a more uniform approach to emissions reduction across the aviation sector (Chao et al., 2019) & (Goncalves & Anselmi, 2019).

Baseline Emissions Calculation: During the pilot phase, the baseline emissions are based on the average of 2019 and 2020 emissions. However, the COVID-19 pandemic has prompted discussions about using only 2019 emissions as the baseline, which could impact the offsetting obligations for airlines (Zelljadt et al., 2021) & (Marke et al., 2022). In the second phase, the established baseline will be strictly adhered to, with airlines required to offset emissions exceeding this baseline.

Regulatory Framework and Requirements: The pilot phase focuses on establishing the MRV processes and testing the operational aspects of CORSIA. In contrast, the second phase will implement a more comprehensive regulatory framework, requiring airlines to actively engage in carbon offsetting and adhere to stricter compliance measures (Chao et al., 2019); (Goncalves & Anselmi, 2019).

Baseline Emissions under CORSIA

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) is designed to achieve carbon-neutral growth in international aviation from 2020 onwards. A critical component of this scheme is the establishment of baseline emissions, which serves as a reference point for calculating the offsetting requirements for airlines. This literature review synthesizes findings from various research papers and reports regarding how the baseline for emissions is determined under CORSIA and the adjustments made due to the COVID-19 pandemic.

Determination of Baseline Emissions

Under CORSIA, the baseline for emissions is defined as the average CO2 emissions from international aviation during the years 2019 and 2020. This baseline is crucial as it establishes the threshold above which airlines must offset their emissions. The original plan was to calculate the average emissions over both years; however, this approach has been modified in light of the significant impact of the COVID-19 pandemic on air travel  (Leclerc, 2019), (Chao et al., 2019).

Initial Baseline Calculation: The baseline emissions were initially intended to be the average of the emissions from 2019 and 2020. This calculation was designed to account for the normal operational levels of the aviation sector prior to the pandemic (Leclerc, 2019); (Marke et al., 2022)+++. The baseline serves as a benchmark for airlines to measure their emissions growth and determine their offsetting obligations.

Scope of CORSIA: CORSIA applies to all international flights between participating states, encompassing a wide range of operations, including passenger and cargo flights, while excluding certain categories such as humanitarian and medical flights (Sharma et al., 2021), (Guan et al., 2022).

Adjustments Due to COVID-19

The COVID-19 pandemic has had a profound impact on the aviation industry, leading to a drastic reduction in air travel and emissions. In response to these unprecedented circumstances, the International Civil Aviation Organization (ICAO) made significant adjustments to the baseline emissions calculation:

Change in Baseline Year: In June 2020, the ICAO Council voted to amend the baseline emissions calculation by removing 2020 emissions from the baseline. Instead, the baseline will now solely rely on the emissions from 2019 (Zhang et al., 2021), (Chao et al., 2019). This adjustment was made to avoid imposing undue economic burdens on airlines, as the emissions in 2020 were significantly lower due to the pandemic.

Implications of the Adjustment: The decision to use only 2019 emissions as the baseline means that airlines may face higher offsetting requirements in the future, as any emissions growth will be measured against a lower baseline (Zelljadt et al., 2021), (Dray & Schäfer, 2023). This change has raised concerns among stakeholders about the potential for reduced motivation to implement proactive emissions reduction measures, as the offsetting obligations may be less stringent in the short term (Zhang et al., 2021), (Chao et al., 2019).

 Long-Term Considerations: The adjustments to the baseline emissions calculation due to COVID-19 have implications for the long-term effectiveness of CORSIA. Critics argue that the scheme may not adequately address the need for deeper emissions reductions in line with global climate targets, particularly as the aviation sector is expected to recover and grow in the coming years (Guan et al., 2022), (Leclerc, 2019).

Participation and Compliance in CORSIA

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) is a global initiative established by the International Civil Aviation Organization (ICAO) to mitigate the impact of aviation emissions on climate change. This literature review synthesizes key findings from various research papers and reports regarding the participation requirements for countries, exemptions for certain states, and compliance requirements for airlines under CORSIA.

Participation Requirements

CORSIA is structured to ensure broad participation from countries involved in international aviation. The participation requirements are as follows:

Mandatory Participation: From 2027 onwards, all ICAO member states whose airlines account for more than 0.5% of international revenue tonne kilometers (RTK) in 2018 are required to participate in CORSIA. This requirement aims to cover a significant portion of international aviation emissions (Goncalves & Anselmi, 2019), (Chao et al., 2019).

Voluntary Participation: The initial phases of CORSIA, specifically the pilot phase (2021-2023) and the first phase (2024-2026), are voluntary. As of July 2021, 106 states had agreed to participate in these phases, representing over 75% of international aviation activity (Scheelhaase et al., 2021), (Chao et al., 2019).

Exemptions: Certain countries are exempt from mandatory participation based on specific criteria:

  • Least Developed Countries (LDCs)Small Island Developing States (SIDS), and Landlocked Developing Countries (LLDCs) are exempt from mandatory participation but may choose to participate voluntarily (Goncalves & Anselmi, 2019), (Chao et al., 2019).
  • Countries whose share of global air traffic is less than 0.5% are also exempt from the mandatory requirements (Larsson et al., 2019), (Goncalves & Anselmi, 2019).

Compliance Requirements for Airlines

Airlines participating in CORSIA must adhere to specific compliance requirements, which include:

Monitoring, Reporting, and Verification (MRV): Airlines are required to monitor and report their CO2 emissions annually. The MRV framework is established under Annex 16, Volume IV of the Chicago Convention, which outlines the Standards and Recommended Practices (SARPs) applicable to airlines with emissions exceeding 10,000 tonnes of CO2 annually (Abeyratnei, 2019); (Zelljadt et al., 2021).

Offsetting Obligations: Airlines must offset any emissions that exceed the established baseline emissions, which is defined as the average emissions from international aviation during the years 2019 and 2020 `(Chao et al., 2019); (Schinas & Bergmann, 2021). The calculation of offsetting obligations is based on the following formula:

  • Offset Obligations = αt × eit × Et − EB + βt × eit × (eit − eiB)

Where:

αt is the proportion of aviation industry emissions,

βt is the proportion of individual airline emissions,

eit is the emissions of airline i in year t,

Et is the total emissions of all airlines in year t,

eiB is the average emissions of airline i in 2019,

EB is the average emissions of all airlines in 2019 (Liao et al., 2022).

Compliance Period: Airlines must meet their offsetting requirements on a three-year compliance basis, with the first compliance period starting in 2021 (Korkut & Fowler, 2021); (Chao et al., 2019).

Use of Sustainable Aviation Fuels (SAFs): Airlines can reduce their offsetting obligations by using CORSIA-eligible sustainable aviation fuels, which are recognized for their potential to lower lifecycle CO2 emissions (Korkut & Fowler, 2021), (Chao et al., 2019).

Offsetting Mechanism under CORSIA

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) is a global initiative aimed at achieving carbon-neutral growth in international aviation from 2020 onwards. A critical component of CORSIA is its offsetting mechanism, which allows airlines to compensate for their emissions by purchasing carbon credits generated from various projects. This literature review synthesizes key findings regarding the types of projects that qualify as carbon offsetting projects under CORSIA and the measures taken to ensure the environmental integrity of the carbon credits used for offsetting.

Types of Projects Qualifying as Carbon Offsetting Projects

CORSIA allows for a variety of projects to qualify as carbon offsetting projects, primarily focusing on those that deliver measurable reductions in greenhouse gas (GHG) emissions. The types of projects that are eligible include:

1. Renewable Energy Projects: These projects involve the generation of energy from renewable sources such as solar, wind, and hydroelectric power. By replacing fossil fuel-based energy generation, these projects contribute to significant reductions in CO2 emissions (Zelljadt et al., 2021).

2. Afforestation and Reforestation Initiatives: Projects that involve planting trees or restoring forests are eligible under CORSIA. These initiatives not only sequester carbon dioxide but also contribute to biodiversity and ecosystem restoration (Zelljadt et al., 2021) , (Korkut & Fowler, 2021).

3. Energy Efficiency Projects: Projects aimed at improving energy efficiency, such as the installation of efficient cookstoves or appliances in rural areas, qualify for carbon credits. These projects reduce fuel consumption and associated emissions (Zelljadt et al., 2021).

4. Waste Management Projects: Initiatives that focus on reducing emissions from waste, such as methane capture from landfills, are also eligible. These projects help mitigate the release of potent greenhouse gases into the atmosphere (Zelljadt et al., 2021).

5.  Agricultural Projects: Certain agricultural practices that enhance carbon sequestration or reduce emissions, such as improved land management and sustainable farming techniques, can qualify for carbon credits under CORSIA (Zelljadt et al., 2021).

Ensuring Environmental Integrity of Carbon Credits

To maintain the environmental integrity of the carbon credits used for offsetting, CORSIA implements several key measures:

1. Technical Advisory Body (TAB): CORSIA has established a Technical Advisory Body responsible for recommending which standards of projects should be eligible under the scheme. This body evaluates the quality and effectiveness of offset projects to ensure they meet CORSIA’s criteria (Kerr, 2022); (Zelljadt et al., 2021).

2. Eligibility Criteria: CORSIA has set specific criteria for carbon offset projects, including requirements for additionality, permanence, and avoidance of double counting. Additionality ensures that the emissions reductions would not have occurred without the project, while permanence requires that the reductions are maintained over time (Wei & Xiao, 2022), (Kerr, 2022).

3. Monitoring, Reporting, and Verification (MRV): CORSIA emphasizes robust MRV processes to track the emissions reductions achieved by offset projects. This includes regular assessments and audits to verify that the claimed reductions are accurate and credible (Abeyratnei, 2019), (Leclerc, 2019).

4. Transparency and Public Participation: CORSIA promotes transparency in the offsetting process by requiring that information about eligible projects and their emissions reductions be publicly accessible. This transparency helps build trust in the integrity of the carbon credits (Kerr, 2022).

5. Avoidance of Double Counting: CORSIA includes provisions to prevent double counting of emissions reductions, ensuring that credits generated from a project are not claimed by multiple parties. This is crucial for maintaining the credibility of the carbon market (Larsson et al., 2019), (Kerr, 2022).

Sustainable Aviation Fuels (SAFs) in CORSIA

Sustainable Aviation Fuels (SAFs) are a critical component of the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), which aims to achieve carbon-neutral growth in international aviation from 2020 onwards. This literature review synthesizes findings from various research papers and reports regarding the role of SAFs in CORSIA, their classification, and their contribution to achieving the scheme’s goals.

Role of Sustainable Aviation Fuels in CORSIA

CORSIA was established by the International Civil Aviation Organization (ICAO) to address the growing greenhouse gas (GHG) emissions from international aviation. Under this scheme, airlines are required to offset any increase in emissions above the baseline established from the average emissions of 2019 and 2020. SAFs play a significant role in this offsetting mechanism by providing a means for airlines to reduce their carbon footprint (Zelljadt et al., 2021), (Sharma et al., 2021).

Classification of SAFs: SAFs are classified into two main categories under CORSIA:

  • Sustainable Aviation Fuels (SAF): These are fuels produced from renewable biomass or waste-derived sources that meet specific sustainability criteria set by CORSIA. They are designed to reduce lifecycle GHG emissions by at least 10% compared to conventional jet fuel (Jing et al., 2022); (Korkut & Fowler, 2021).
  • Lower Carbon Aviation Fuels (LCAF): These are petroleum-based fuels that achieve at least a 10% reduction in lifecycle GHG emissions compared to the baseline (Jing et al., 2022). Both SAFs and LCAFs must comply with the sustainability criteria outlined in CORSIA to be considered eligible for offsetting requirements.

Contribution of SAFs to CORSIA Goals

The use of SAFs is integral to achieving the goals of CORSIA, which include stabilizing net aviation emissions at 2020 levels and promoting the transition to more sustainable fuel sources. The following points highlight how SAFs contribute to these objectives:

1.  Reduction of Lifecycle Emissions: SAFs can significantly reduce lifecycle GHG emissions compared to conventional jet fuels. Studies indicate that biomass-based SAFs can achieve reductions of up to 80-90% in emissions (Jing et al., 2022); (Korkut & Fowler, 2021). This reduction is crucial for airlines aiming to meet their offsetting obligations under CORSIA.

2.  Incentivizing Cleaner Technologies: By allowing airlines to claim emissions reductions from the use of SAFs, CORSIA encourages the adoption of cleaner technologies and fuels. This mechanism not only helps airlines meet their compliance requirements but also stimulates investment in the development and production of sustainable fuels (Gössling & Lyle, 2021) & (Goncalves & Anselmi, 2019).

3.  Market-Based Mechanism: CORSIA operates as a market-based mechanism, where airlines can purchase carbon credits or invest in projects that reduce emissions elsewhere. The integration of SAFs into this framework provides a viable pathway for airlines to offset their emissions while promoting the use of renewable energy sources (Sharma et al., 2021) & (Marke et al., 2022).

4.  Support for Sustainable Development: The promotion of SAFs aligns with broader sustainability goals, including reducing reliance on fossil fuels and enhancing energy security. By fostering the production and use of SAFs, CORSIA contributes to the global transition towards a more sustainable aviation sector (Korkut & Fowler, 2021),& (Gössling & Lyle, 2021).

Economic Implications of CORSIA on the Aviation Industry

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) is a significant global initiative aimed at achieving carbon-neutral growth in international aviation from 2020 onwards. This literature review synthesizes findings from various research papers regarding the expected economic impacts of CORSIA on the aviation industry, including its effects on ticket prices and airline operations.

Expected Economic Impacts of CORSIA

1.  Cost of Compliance: The implementation of CORSIA is anticipated to impose additional costs on airlines due to the need to purchase carbon offsets for emissions exceeding the baseline established from 2019 and 2020 levels. Estimates suggest that the carbon offsetting costs for the global aviation industry could range from $5.3 billion to $23.9 billion by 2035, accounting for approximately 0.5% to 1.4% of total revenues from international aviation (Liao et al., 2022) & (Gössling & Lyle, 2021). This financial burden may vary significantly across different airlines, depending on their operational efficiency and emissions profiles.

2.  Impact on Profit Margins: The additional costs associated with compliance may lead to reduced profit margins for airlines, particularly for those with higher emissions. Research indicates that airlines may face economic pressures as they adapt to the new regulatory environment, potentially leading to a re-evaluation of operational strategies (Liao et al., 2022) & (Goncalves & Anselmi, 2019).

3.  Investment in Sustainable Technologies: CORSIA may incentivize airlines to invest in more sustainable technologies and practices to reduce their carbon footprint. This could include the adoption of Sustainable Aviation Fuels (SAFs), improvements in fuel efficiency, and operational modifications aimed at reducing emissions (Khalifa et al., 2022). While these investments may incur upfront costs, they could lead to long-term savings and enhanced competitiveness in a market increasingly focused on sustainability.

Effects on Ticket Prices and Airline Operations

1.  Potential Increase in Ticket Prices: The costs associated with carbon offsetting are likely to be passed on to consumers in the form of higher ticket prices. Studies suggest that airlines may increase fares to cover the additional expenses incurred from purchasing offsets, which could lead to a rise in overall travel costs (Liao et al., 2022) & (Goncalves & Anselmi, 2019). The extent of this price increase will depend on various factors, including the competitive landscape and the price sensitivity of consumers.

2.  Changes in Airline Operations: CORSIA may lead airlines to modify their operational practices to mitigate emissions and reduce compliance costs. This could involve optimizing flight routes, increasing the use of fuel-efficient aircraft, and enhancing maintenance practices to improve fuel efficiency (Hamdan et al., 2022) & (Khalifa et al., 2022). Additionally, airlines may seek to adjust their service offerings, such as reducing the frequency of less profitable routes or increasing the use of larger aircraft to maximize passenger capacity.

3.  Market Dynamics and Competition: The implementation of CORSIA may alter competitive dynamics within the aviation industry. Airlines that are better positioned to absorb the costs of compliance or that have lower emissions profiles may gain a competitive advantage over their peers (Scheelhaase et al., 2021) & (Larsson et al., 2019). Conversely, airlines with higher emissions may struggle to maintain market share if they are unable to effectively manage the financial implications of CORSIA.

4.  Long-Term Economic Sustainability: While CORSIA aims to promote carbon-neutral growth, there are concerns regarding its effectiveness in achieving absolute emissions reductions. Critics argue that the scheme may not sufficiently incentivize airlines to reduce emissions at their source, potentially undermining long-term sustainability goals (Gössling & Lyle, 2021) & (Schinas & Bergmann, 2021). This raises questions about the overall economic viability of the aviation sector in a future where environmental regulations become increasingly stringent.

Critiques and Challenges of CORSIA

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) has been established as a global market-based measure to address the increasing greenhouse gas emissions from international aviation. However, it has faced significant criticism regarding its effectiveness and the handling of non-CO2 emissions. This literature review synthesizes key findings from various research papers and reports on the main criticisms of CORSIA and its approach to non-CO2 effects.

Main Criticisms of CORSIA

1.  Limited Environmental Effectiveness: One of the primary criticisms of CORSIA is its limited potential to achieve meaningful reductions in aviation emissions. Critics argue that the scheme’s focus on “carbon neutral growth” means it only addresses emissions above a baseline established from 2019 levels, leaving a substantial portion of emissions unaccounted for (Gössling & Lyle, 2021) & (Larsson et al., 2019). Research indicates that CORSIA is expected to cover only a fraction of total aviation emissions, with estimates suggesting that it may only offset about 12% of aviation emissions by 2030 (Larsson et al., 2019).

2. Reliance on Offsetting: CORSIA’s reliance on carbon offsetting has been criticized as a “shortcut” that allows the aviation sector to avoid making significant changes to reduce emissions at their source (Goncalves & Anselmi, 2019) & (Gössling & Lyle, 2021). This approach may undermine the urgency needed for technological advancements and operational improvements within the industry. Critics argue that the offsetting mechanism does not incentivize airlines to adopt cleaner technologies or reduce their emissions directly (Goncalves & Anselmi, 2019) & (Sharma et al., 2021).

3. Weak Baseline and Participation Requirements: The decision to set the baseline emissions level at 2019, rather than an average of 2019 and 2020, has been criticized for weakening the scheme’s effectiveness, especially in light of the significant drop in emissions due to the COVID-19 pandemic (Zhang et al., 2021) & (Liao et al., 2022). Additionally, the voluntary nature of the initial phases of CORSIA raises concerns about the commitment of airlines to participate and comply with the scheme (Gössling & Lyle, 2021) & (Goncalves & Anselmi, 2019).

4. Exemptions and Coverage Gaps: CORSIA exempts certain countries and types of flights, including those from Least Developed Countries (LDCs) and Small Island Developing States (SIDS), which may limit the scheme’s overall effectiveness (Larsson et al., 2019) & (Goncalves & Anselmi, 2019). Furthermore, the exclusion of domestic flights from CORSIA’s regulations creates competitive disparities between airlines operating in different jurisdictions (Scheelhaase et al., 2018).

Addressing Non-CO2 Effects of Aviation Emissions

CORSIA has been criticized for its omission of non-CO2 effects, which are significant contributors to aviation’s overall climate impact. These effects include emissions of nitrogen oxides (NOx), water vapor, and particulate matter, which can lead to the formation of contrails and additional greenhouse gases (Scheelhaase et al., 2018) & (Marke et al., 2022).

1.  Lack of Comprehensive Coverage: CORSIA primarily focuses on CO2 emissions, neglecting the broader climate impacts associated with non-CO2 emissions. Research indicates that non-CO2 effects may account for a substantial portion of aviation’s total climate impact, potentially doubling the overall radiative forcing from aviation emissions (Larsson et al., 2019) & (Hamdan et al., 2022). This omission raises concerns about the scheme’s ability to address the full scope of aviation’s environmental footprint.

2.  Implications of the Omission: The failure to include non-CO2 effects in CORSIA may lead to a false sense of progress in reducing aviation emissions. Critics argue that without addressing these emissions, the aviation sector may continue to contribute significantly to climate change, undermining global efforts to meet climate targets (Gössling & Lyle, 2021) & (Sharma et al., 2021). The lack of a comprehensive approach may also hinder the development of effective policies that promote sustainable aviation practices.

Future Developments of CORSIA

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) represents a significant step towards addressing the environmental impacts of the aviation sector. As the scheme progresses beyond its initial phases, it is essential to consider its long-term goals and potential improvements to enhance its effectiveness in mitigating climate change impacts. This literature review synthesizes findings from various research papers and reports regarding the future developments of CORSIA.

Long-Term Goals of CORSIA Beyond 2035

1.  Carbon Neutral Growth and Emission Reductions: CORSIA aims to achieve carbon-neutral growth in international aviation from 2020 onwards. The long-term goals extend beyond 2035, with aspirations to align with the targets set by the Paris Agreement, which calls for significant reductions in greenhouse gas emissions (Zhang et al., 2021) & (Gössling & Lyle, 2021). The International Air Transport Association (IATA) has indicated that achieving carbon neutrality in aviation will require deep cuts in emissions, potentially halving them from 2005 levels by 2050 (Zhang et al., 2021).

2.  Integration with Nationally Determined Contributions (NDCs): Future developments of CORSIA may involve closer integration with the NDCs established under the Paris Agreement. This could include incorporating aviation emissions into national climate strategies, thereby enhancing accountability and encouraging countries to take more ambitious actions  (Lyle, 2018) & (Lyle, 2018).

3.  Adaptation to Technological Advances: As the aviation industry evolves, CORSIA’s goals may also adapt to incorporate advancements in technology, such as the development of sustainable aviation fuels (SAFs) and alternative propulsion systems. The scheme could evolve to incentivize the adoption of these technologies, thereby facilitating a transition to a more sustainable aviation sector (Korkut & Fowler, 2021) & (Hamdan et al., 2022).

Enhancements for CORSIA’s Effectiveness

1. Strengthening Environmental Integrity: One of the primary criticisms of CORSIA is its reliance on carbon offsetting, which may not guarantee substantial emissions reductions. To enhance its effectiveness, CORSIA could implement stricter criteria for the eligibility of carbon credits, ensuring that they represent genuine and verifiable emissions reductions (Goncalves & Anselmi, 2019) & (Abeyratne, 2017). This could involve establishing a robust framework for monitoring, reporting, and verification (MRV) of emissions reductions associated with offset projects.

2. Inclusion of Non-CO2 Emissions: CORSIA currently focuses primarily on CO2 emissions, neglecting the significant climate impacts associated with non-CO2 emissions, such as nitrogen oxides (NOx) and water vapor. Future iterations of CORSIA could address these emissions by incorporating measures to mitigate their effects, thereby providing a more comprehensive approach to aviation’s climate impact (Larsson et al., 2019) & (Schinas & Bergmann, 2021).

3. Dynamic Baseline Adjustments: The baseline for emissions under CORSIA has been a point of contention, particularly with the recent shift to a single baseline year of 2019. Future developments could include dynamic adjustments to the baseline that reflect recovery trends and emissions growth, ensuring that the scheme remains relevant and effective in the face of changing aviation demand (Zhang et al., 2021) & (Mai, 2021).

4. Enhanced Participation and Compliance Mechanisms: To improve the overall effectiveness of CORSIA, it is crucial to ensure broad participation among member states. This may involve developing incentives for countries to join the scheme and establishing compliance mechanisms that hold airlines accountable for their emissions (Goncalves & Anselmi, 2019) & (Abeyratne, 2017).

5. Integration with Other Regulatory Frameworks: CORSIA could benefit from better integration with existing regulatory frameworks, such as the European Union Emissions Trading System (EU ETS). By aligning the two systems, CORSIA could enhance its environmental effectiveness and reduce competitive distortions between airlines operating under different regulatory regimes (Scheelhaase et al., 2021) & (Schinas & Bergmann, 2021).

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Chamika Willorage
Chamika Willorage

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