In her draft report dated 17 January, MEP Sunčana Glavak (EPP, Croatia), the European Parliament’s rapporteur for the review of the aviation part of the EU Emissions Trading System (ETS), proposes to speed up the phasing out of free emission allowances for aircraft operators.
These free allowances were introduced in order to combat the risk of carbon leakage.
As part of the review of the ETS, the European Commission has proposed phasing out allowances in the aviation sector – which is partly covered by the ETS – in order to achieve full auctioning of these allowances by 2027 (see EUROPE 12764/10).
According to the European Commission’s plan, 25% of free allowances should be auctioned in 2024, with 50% in 2025, 75% in 2026 and 100% in 2027.
Ms Glavak has suggested a faster pace: 33.3% in 2024, 66.6% in 2025 and 100% in 2026. This is more or less in line with the proposal made by her colleague Peter Liese (EPP, Germany), Parliament’s rapporteur for the review of the ETS (excluding aviation – see EUROPE 12867/3), which concerns the gradual application of the ETS to the maritime sector.
This would mean that around 12 million more allowances than the Commission’s proposal would be auctioned in the period running up to 2030.
Maintaining the scope of application
Regarding the scope of application of the ETS system to the aviation sector, the MEP has maintained the Commission’s approach.
This involves continuing to apply the ETS to flights within the European Economic Area and to Switzerland and the UK, while also applying the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) to flights that are not currently covered by the ETS. This will include flights to and from countries outside the EEA.
In her draft report, Ms Glavak therefore stresses “the need for a stronger CORSIA fit for purpose”.
She added: “It is important to achieve the highest possible number of participating countries and to ensure that CORSIA is implemented in those countries by 2027 at the latest, to increase transparency and an overall good cooperation with third countries in that context”.
More support for innovation
Regarding the use of funds from the sale of emission allowances, the MEP proposes to allocate a significant part of the ‘Innovation Fund’ to projects aimed at supporting innovation and new technologies in the aviation sector, including the development of “clean and sustainable aviation fuels”, in order to reduce greenhouse gas emissions.
More transparency
In addition, Ms Glavak wants to increase transparency.
Her draft report sets out: - Member States’ reports on the use of revenues from the auctioning of emission allowances to be made public; - Member States and the European Commission to publish their data on emissions by airline.
See the report: https://bit.ly/3nEN3x5 (Original version in French by Damien Genicot)