The Carbon Offsetting and Reduction Scheme for International Aviation was adopted in 2016 during the 39th Assembly, implemented as one of the global Market-Based Measures, and is implemented through Standards and Recommended Practices (SARPs) Annex 16, Volume IV. Each ICAO Member State designates a national authority to ensure aeroplane operators’ compliance with monitoring, reporting, and offsetting requirements. CORSIA aims to achieve carbon-neutral growth by requiring aeroplane operators to offset emissions.
Aeroplane operators with annual CO₂ emissions exceeding 10,000 tonnes from international flights and operating aeroplanes with a Maximum Take-off Weight (MTOW) above 5,700 kg are required to report under CORSIA. Emissions from helicopters are excluded, and flights conducted for humanitarian, medical, state, police, military, or firefighting purposes are exempt from reporting obligations.
CORSIA is structured in three implementation phases. The Pilot Phase (2021–2023) and First Phase (2024–2026) are voluntary, allowing States to opt in. The Second Phase (2027–2035) becomes mandatory for most States, with a few exceptions.
Aeroplane operators must have their Emissions Report independently verified by an accredited third-party verifier annually. The verified Emissions Report, along with the Verification Report, must be submitted to the respective Administering Authority by 30 April of the reporting year. For operators based in the United Kingdom, the Emissions Report must be submitted by 30 April of the reporting year via the Manage your UK Emissions Trading Scheme (METS) portal. For operators based in the European Economic Area (EEA), the Annual Emissions Report must be submitted by 31 March of the reporting year to align with EU ETS reporting requirements.
At the end of each three-year compliance cycle (the first compliance cycle was 2021-2023), aeroplane operators are required to purchase and cancel eligible emissions units by 31 January of the following year or 60 days from notification from the state. They must then submit the verified Emissions Units Cancellation Report (EUCR) along with the verified Emissions Report by 30 April of that reporting year.
Aeroplane operators can claim emissions reductions from CORSIA Eligible Fuels (CEF). To claim CEF, they must ensure that the fuels meet CORSIA’s sustainability criteria and are certified by CORSIA-approved Sustainability Certification Schemes. All CEF claims must be independently verified, and aeroplane operators are responsible for maintaining the necessary documentation to support their claims.
CORSIA is implemented by the Standards and Recommended Practices (SARPs) outlined in Annex 16, Volume IV of the Chicago Convention, and further detailed in the Environmental Technical Manual, Volume IV. The latest official templates for the Emissions Monitoring Plan, Emissions Report, Emissions Units Cancellation Report, and the CORSIA Eligible Fuels Supplementary Information are available through the ICAO CORSIA website.
Our commercial team engages with the client. Thereafter, a pre-contract is elaborated and sent to the client.
During the engagement stage, clear objectives are set with the client, which involves the comprehensive definition of the operational scope, ensuring that all relevant parties have a clear and shared understanding of the verification boundaries. The engagement is formalized through a contract, setting the stage for a structured and transparent verification process.
The verification activities are determined and planned based on the claims. An Audit Preparation Letter (APL) is sent to request all the required data and documents to begin the verification process. A strategic and risk analysis is performed to assess the risks and prepare a verification plan.
A thorough analysis of emissions data and supporting documents to verify accuracy, completeness, and consistency. The process ensures compliance with relevant regulations. It includes cross-checking flight and fuel data, reviewing monitoring methodologies, and validating control systems to confirm the integrity of the reported information.
An independent technical review is conducted in accordance with ISO 17029:2019 and ISO 14065:2020 standards. After achieving reasonable assurance, a verification report is issued, ensuring that the client’s report is free from any material misstatements.
If there is any significant information that comes to light after the verification opinion has been issued and if such information could impact the verification results, it may necessitate a reassessment or correction in the report.
Starlux Airlines Corporation Starlux Airlines Corporation
I encountered an issue from the local state. Your team solved it quickly in very good service. I’m impressed with the fast response of your auditor that really helped us meet the deadline of our local state to submit reports.
Cathay Pacific Airways Limited Cathay Pacific Airways Limited
I work relatively closer with the verification team and commercial team, the service is very satisfactory overall.
Aerotranscargo Aerotranscargo
I am satisfied to work with both the lead auditor and trainee auditor.
Market-based measures (MBM) refer to the financial settlement related to aviation CO2 emissions. Types of MBM include: emissions trading, emission related levies and emissions offsetting; all of which aim to contribute to the achievement of specific environmental goals, at a lower cost, and in a more flexible manner, than traditional command and control regulatory measures.
Paragraph 10 of Assembly Resolution A41-22 delineates the scope of CORSIA offsetting, focusing on routes between States to mitigate market disparities among aircraft operators along the same routes. The principle is to ensure equitable treatment of all aircraft operators on a specific route.
Here are the specifics:
When calculating CO2 emissions covered by CORSIA offsetting within a given year, aircraft operators must consider emissions from operations on all routes covered by the scheme, as outlined in paragraph 10 of the Assembly Resolution.
It is important to note that the applicability of CORSIA offsetting requirements and CORSIA monitoring, reporting, and verification (MRV) requirements differs. Even if an international flight is not subject to offsetting requirements, it remains subject to MRV requirements.
Learn more here.
The Environmental Technical Manual (ETM) adheres to the traditional ICAO Standards and Recommended Practices (SARPs) framework, where SARPs are supported by guidance material for implementation. SARPs delineate the required actions for States or operators to execute CORSIA, defining the “what” and “when” aspects. In contrast, Volume IV of the ETM provides guidance on the procedural aspects (“how”) of implementing CORSIA, offering a comprehensive framework for effective implementation.
CORSIA’s MRV (Monitoring, Reporting, and Verification) system comprises three main components:
Monitoring of CO2 Emissions:
CO2 emissions monitoring can be conducted either through the Fuel Use Monitoring Method or by utilizing the ICAO CORSIA CERT. In the former method, each operator must gather precise data on fuel usage per flight and compute CO2 emissions by multiplying the fuel consumption by a conversion factor representing the CO2 produced per tonne of fuel used. Aeroplane operators are obligated to outline their approach to CO2 emissions monitoring in an Emissions Monitoring Plan, which is then submitted for approval by the respective State.
Reporting of CO2 Emissions:
Following the monitoring and calculation of CO2 emissions, aeroplane operators are required to report pertinent information to their State Authority, which in turn transmits the data to ICAO using standardized templates and procedures. ICAO aggregates the CO2 emissions data, computes the annual Sectoral Growth Factor, and communicates this factor to the States.
Verification of CO2 Emissions Information:
The verification process ensures the accuracy and integrity of the data collected. Essentially, a third party verifies that all procedures have been carried out correctly, akin to the auditing practices commonly employed in financial contexts.
Following COVID 19, ICAO revised its baseline calculation and announced only the emissions from the year 2019 will be considered for baseline.
For the pilot phase (2021-2023): the total CO2 emissions covered by CORSIA in 2019; and
For the first and second phases (2024-2035): 85% of the total CO2 emissions covered by CORSIA in 2019.
CORSIA verification ensures compliance with international aviation emissions regulations. It involves independent assessment to verify emissions data accuracy and adherence to CORSIA standards, contributing to global efforts in offsetting and reducing carbon emissions.
CORSIA verification benefits airlines by ensuring adherence to environmental regulations, avoiding penalties, and fostering a positive industry reputation. It enhances emissions management systems, aligning with global standards and emphasizing transparency and accountability.
Accredited CORSIA verifiers adhere to global standards, providing assurance of competence and reliability. Accreditation signifies expertise, experience, and a commitment to following established procedures, ensuring thorough and credible verification of emissions data for the aviation industry.
The Least Developed Countries (LDCs) is a list of the countries that, according to the United Nations, exhibit the lowest indicators of socioeconomic development, with the lowest Human Development Index ratings of all countries in the world. A country is classified among the Least Developed Countries if it meets three criteria:
Small Island Developing States (SIDS) are low-lying coastal countries that tend to share similar sustainable development challenges, including small but growing populations, limited resources, remoteness, susceptibility to natural disasters, vulnerability to external shocks, excessive dependence on international trade, and fragile environments. Their growth and development are also held back by high communication, energy and transportation costs, irregular international transport volumes, disproportionately expensive public administration, and infrastructure due to their small size, and little to no opportunity to create economies of scale.
The SIDS were first recognized as a distinct group of developing countries at the United Nations Conference on Environment and Development in June 1992.
Lack of territorial access to the sea, remoteness and isolation from world markets and high transit costs continue to impose serious constraints on the overall socio-economic development of landlocked developing countries. Their sea-borne trade unavoidably depends on transit through other countries. Additional border crossings and long distances from the market substantially increase the total expenses for transport services.
The economic performance of landlocked developing countries reflects the direct and indirect impact of the geographical situation on key-economic variables. Landlocked developing countries are generally among the poorest of the developing countries, with the weakest growth rates, and are typically heavily dependent on a very limited number of commodities for their export earnings. Moreover, of the 32 landlocked developing countries, 17 are classified as least developed.
The remoteness from major world markets is the principal reason why many landlocked developing countries have not been very successful in mitigating consequences caused by their geographical handicap as compared to landlocked countries in Europe. Landlocked developed countries of Europe are surrounded by major developed markets and their seaborne trade accounts for a relatively small part of their external trade. Their export is mainly high-value-added products and their distance from the seaport is relatively short.
