Aviation's contribution to European Union climate action: Revision of EU ETS as regards aviation

Briefing 28-06-2023

As part of the 'fit for 55' package, the Commission proposed a revision to the EU's emissions trading system (ETS) as regards carbon dioxide emissions from aviation. The proposal sought to ensure that the sector contributes to the EU's climate targets through increased auctioning of allowances, with an end to free allowances from 2027, and by applying the linear reduction of aviation allowances. The proposal would also integrate, into the revised ETS, the International Civil Aviation Organization's agreed global market-based Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) and apply it to international flights departing from or arriving at an airport inside the European Economic Area (EEA). For domestic flights in the Member States or flights within the EEA, the ETS would continue to apply. In the European Parliament, the file was referred to the Committee on Environment, Public Health and Food Safety (ENVI), with Sunčana Glavak (EPP, Croatia) appointed rapporteur. Following adoption of Parliament and Council's respective positions in June 2022, a provisional agreement was reached in December 2022. Parliament adopted the text on 18 April and the Council on 25 April 2023. The directive entered into force on 5 June 2023, and Member States have until 31 December to transpose it into national law. Fifth edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.