The International Air Transport Association (IATA) – the global representative body for the airline industry – has highlighted that Madagascar, Zambia, Zimbabwe, the UK, and Guyana have signed the Aviation Carbon Market Compact and joined the Supporting Alliance for CORSIA Eligible Emissions Unit (EEU) Supply. (CORSIA is the abbreviation for the Carbon Offsetting and Reduction Scheme for International Aviation, which is an initiative of the intergovernmental International Civil Aviation Organisation.) Further, the International Emissions Trading Association (IETA), the Verified Carbon Market Collaborative, airframer Airbus and carbon-market data group Sylvera have also joined the Alliance and are supporting it technically and financially.

“The engagement of the governments of Guyana, Madagascar, the [UK], Zambia, and Zimbabwe, as well as the support provided by our partners from across the entire carbon market value chain, shows strong and shared commitment to strengthening the link between market demand and the policy frameworks,” pointed out IATA senior VP sustainability and chief economist Marie Owens Thomsen. “These frameworks remain critical to unlocking the full potential of CORSIA EEUs. The CORSIA Supporting Alliance demonstrates tremendous determination across the full spectrum of market participants to work together. We need to ensure that EEUs can be brought to market with the speed and scale required.”

The demand for CORSIA EEUs is expected to reach 225-million to 250-million by the northern spring of next year. Matching this demand requires the scaling up of the EEU supply.

The Alliance seeks to help achieve this in four ways. First, to pool resources and share expertise in a focused manner, including practical support and assistance in implementing EEUs, to increase their availability as fast as possible. Second, enabling and facilitating countries regarding the management of the nexus between their Nationally Determined Contributions (under the UN Framework Convention on Climate Change) and the process required to provide carbon credits for use within CORSIA. Third, to get better access for countries to carbon markets and associated resources, such as carbon finance. And, fourth, by, as an Alliance, remaining committed, sharing information on developments, and always seeking opportunities to boost participation in this broadly supported collaboration.

“With CORSIA now coming into force, the global community has an unprecedented opportunity to channel capital toward impactful climate action,” affirmed High Tide Foundation Carbon Policy and Markets Initiative director and Verified Carbon Market Collaborative representative Alexia Kelly. “This new framework for increasing the supply of high-integrity compliance carbon credits for international aviation reflects years of progress in improving carbon market integrity, transparency, and governance, while helping establish the trusted infrastructure the aviation sector needs to make essential climate progress. The Supporting Alliance’s plan to provide targeted, coordinated assistance for host countries to authorise credits and open access to carbon markets is timely and essential and High Tide is delighted to support efforts to make sure we don’t miss this moment.”