The International Air Transport Association (Iata), the representative body for the global airline industry, on Wednesday launched the Aviation Carbon Exchange (ACE). Developed in cooperation with Xpansiv CBL Holding Group, an Australian-US commodities trader, ACE is the first of its kind – a real-time centralised marketplace integrated with Iata’s Clearing House (ICH), to settle funds on trades in carbon offsets. ICH provides ACE with a secure and seamless settlement system, guaranteeing both payment and the delivery of the carbon credits.
“Airlines are serious in their commitment to reduce emissions,” highlighted Iata director-general and CEO Alexandre de Juniac. “And they need a reliable tool to access quality carbon credits in real time. ACE will be a key tool helping airlines efficiently manage these important transactions.”
Iata’s members are committed to cutting their net emissions to half of their 2005 levels by 2050. An important part of this programme is the Carbon Offsetting and Reduction Scheme for International Aviation (Corsia). Hitherto, airlines have been separately purchasing carbon credits, as part of individual carbon reduction or offsetting programmes.
“ACE gives airlines access to top quality carbon offsetting schemes in real-time with full transparency,” pointed out Iata senior VP: member and external relations Sebastian Mikosz. “Corsia is a key enabler of our long-term strategy to reduce emissions to half of 2005 levels by 2050, and this new platform will be of enormous benefit to our members and other industry stakeholders.”
Available through ACE are a range of high-quality carbon reduction credits, involving projects such as ecosystem protection, emission-cutting projects for remote communities, forestry and wind energy. All the projects on ACE are certified to reduce carbon emissions.
“Our planet is physically changing, as are the expectations of our customers, crew, members and investors,” explained JetBlue airline CEO and Iata board of governors chairperson Robin Hayes. JetBlue, a major US low cost carrier, made the first trade on the ACE. “The [ACE] will help us continue to meet our climate commitments by providing simplified and transparent access to legitimate, third-party certified carbon offsets.”