INTERNATIONAL AVIATION OPERATES ACROSS BORDERS, SO ADDRESSING ITS EMISSIONS REQUIRES COORDINATED INTERNATIONAL ACTION. THE CARBON OFFSETTING AND REDUCTION SCHEME FOR INTERNATIONAL AVIATION (CORSIA), DEVELOPED THROUGH THE INTERNATIONAL CIVIL AVIATION ORGANIZATION (ICAO), PROVIDES A GLOBALLY COORDINATED MARKET BASED FRAMEWORK FOR INTERNATIONAL AVIATION.
AS PHASE 1 REACHES A CRITICAL TIME FOR COMPLIANCE, ATTENTION IS FOCUSED ON ENSURING SUFFICIENT ELIGIBLE SUPPLY, ROBUST ACCOUNTING SYSTEMS AND CONSISTENT NATIONAL IMPLEMENTATION TO CREATE A LEVEL PLAYING FIELD FOR AIRLINE COMPLIANCE.
CORSIA IS MORE THAN AN AVIATION POLICY. IT CONNECTS ARTICLE 6 IMPLEMENTATION, MARKET INTEGRITY, INTERNATIONAL COOPERATION AND VOLUNTARY CARBON MARKETS. ITS SUCCESS WILL SHOW WHETHER CARBON MARKETS CAN OPERATE ACROSS BORDERS WITH THE CONSISTENCY, CREDIBILITY AND SCALE THAT CLIMATE ACTION REQUIRES.
CORSIA’s pilot phase ran from 2021 to 2023, followed by the first phase from 2024 to 2026. Mandatory participation begins for most ICAO Member States in 2027, and the scheme runs through 2035 under the current ICAO Assembly resolution.
Airlines need clarity on national obligations and enforcement, while the market needs sufficient eligible supply. Host countries need workable processes for authorisation and reporting so corresponding adjustments can be completed. As airlines begin meeting compliance obligations, demand for eligible emissions units can become a source of finance for eligible carbon market activities.
CORSIA eligibility depends on the rules around the units as well as the units themselves. Host-country authorisation and corresponding adjustments are central to preventing double counting. Clear rules, credible accounting and transparent oversight are prerequisites for a market that can scale and retain trust.
ICAO/CAEP analysis for the 2025 CORSIA periodic review estimates that CORSIA compliance costs during 2024- 2026 will remain below 1% of international aviation revenues. Source: ICAO, 2025 CORSIA Periodic Review
ICAO reports that 130 states will participate in CORSIA from 1 January 2026. The scheme connects governments, airlines, standards, registries and carbon market participants through a shared framework. Source: ICAO, CORSIA News
IETA supports CORSIA as the broadest globally coordinated market-based framework for international aviation. We see successful completion of Phase 1 as essential to market delivery and as a powerful signal that international climate cooperation can work in practice.
Phase 1 underway
Participating from 1 January 2026
Estimated share of international aviation revenue for 2024-2026 compliance costs
Host countries need Letters of Authorisation and reporting that ultimately results in corresponding adjustments. CORSIA is a practical test of Article 6 implementation.
EU rules maintain EU ETS coverage for intra-European flights and apply CORSIA to other flights departing or arriving to third countries participating in CORSIA. EU specific criteria for units to. be used by EEA airlines for CORSIA is still pending. Source: Council of the EU Decision 15 Oct 2025
Eligibility, authorisation and accounting requirements connect CORSIA directly to environmental integrity and preventing double counting.
CORSIA links sovereign decisions, private-sector compliance and international units through a common framework.
Airline compliance relies on sufficient eligible supply, connecting aviation demand, programme eligibility and host-country readiness.
Authorisation, reporting and institutional arrangements developed for CORSIA can support wider Article 6 participation.
CORSIA supplements in-sector measures including technological innovation, operational improvements and sustainable aviation fuels.