The global aviation industry has come to an agreement this week to curb carbon emissions starting in 2021. About 191 members of the International Civil Aviation Organization, including the U.S., agreed to a voluntary program to cap emissions at 2020 levels for the initial five years of the program, with mandates beginning in 2027, The Wall Street Journal reported. Airlines, which spent more than $180 billion on fuel in 2015, could be spending anywhere from $5 billion to nearly $24 billion to comply with emissions limits in 2035, ICAO said. Among the potential costs are purchasing credits when exceeding the limits, according to the Journal report. The pact, called the Carbon Offset and Reduction Scheme for International Aviation, was signed at an ICAO gathering in Montreal on Thursday. It parallels agreements the aviation industry made a year ago in Geneva, along with the Paris climate treaty signed by members of the United Nations.
How U.S. airlines will adjust and how much they will spend on carbon offsets remains to be seen, FAA Administrator Michael Huerta said in the Journal report. Also unknown will be the state of the fuel markets in the coming years. The International Air Transport Association said in a statement that the agreement is historic. “The CORSIA agreement has turned years of preparation into an effective solution for airlines to manage their carbon footprint,” IATA said. “This agreement ensures that the aviation industry’s economic and social contributions are matched with cutting-edge efforts on sustainability.” The Washington-basedGeneral Aviation Manufacturers Association, which is part of an international consortium representing the aviation industry, said the agreement includes exemptions for small businesses and aircraft. “GAMA’s member companies that manufacture business aircraft, engines, avionics, and components worked hard to achieve an agreement that will balance the industry’s continued economic growth with the need to address international aviation CO2 emissions,”GAMA President and CEO Pete Bunce said.
