Potential Implementation Deficit May Reduce CORSIA-Driven Offset Demand

CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) is the world’s first global sectoral carbon market mechanism, requiring airline operators to offset their greenhouse gas emissions.

With CORSIA’s mandatory implementation phase beginning in 2027, the scheme is expected to generate significant demand for carbon credits. However, the extent to which that demand materializes depends heavily on whether countries translate CORSIA obligations into enforceable national law.

In this brief, our legal team argues that CORSIA’s impact on offset demand depends on countries’ commitment to implement and enforce the scheme. It highlights that implementation remains fragmented: many countries with significant aviation emissions have yet to adopt the relevant laws and procedures, and enforcement approaches vary widely. The brief also considers the EU’s likely adoption of additional eligibility requirements for CORSIA-eligible offsets, which could further constrain the supply of qualifying credits.

Read the brief – authored by Charlotte Streck and Paulina Kühme – here.