Research for TRAN Committee - The aviation and maritime sectors and the EU-ETS: challenges and impacts

This paper gives an initial overview of the market structure in a revised EU ETS for the European aviation and maritime sectors. Key design options like the scheme’s geographical scope, the baseline year(s), cap and allocation of allowances, and – in the case of aviation – the relationship with CORSIA, can have impacts on the competitive situation of EU carriers and vessels. This is the first stage in the research project focusing on the implementation and socio-economic perspectives related to the eventual inclusion of aviation and maritime in the EU ETS system. The analysis of the Commission’s proposal is expected to follow in fall 2021.