ICAO warns EU ETS expansion could double airlines' climate obligations

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ICAO president Toshiyuki Onuma told officials in Brussels that extending the EU Emissions Trading System to more international flights could weaken CORSIA and double climate obligations for airlines.
The EU announced on 17 July that the ETS would be broadened from 2029 to include certain currently excluded international routes, covering flights within the European Economic Area and connections to the UK and Switzerland. ICAO highlighted the risk of overlapping the ETS with CORSIA, which already requires carbon credits for international flights above a reference level, and estimated that achieving net‑zero aviation by 2050 will require $3.2 trillion in new energy investments. IATA reported that in August 42 authorization letters covered 72 million units, while demand for the first compliance period is estimated at 200–250 million units, up from 40 million units authorized at the start of 2026.
Why it matters
If the EU ETS and CORSIA overlap, airlines could face doubled climate compliance costs.