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In a joint statement, the signatories call for the prompt issuance of Letters of Authorization (LoAs) – official documents required for releasing CORSIA Eligible Emissions Units (EEUs) to the market. These units are essential for enabling airlines to meet their offsetting obligations for emissions generated on international flights during the 2024–2026 compliance period.
According to IATA, airlines will require between 146 and 236 million EEUs during this first phase of CORSIA. However, only 15.8 million eligible credits – issued by Guyana – are currently available, creating a significant demand-supply gap.
What are LoAs and why do they matter?
LoAs are issued by the host country of a carbon project, confirming that the resulting carbon credits can be used by airlines for CORSIA compliance. These documents ensure that emissions reductions are not double-counted – either by the host country’s own climate commitments under the Paris Agreement or by the airline. This process requires a “corresponding adjustment” to the host country’s Nationally Determined Contribution (NDC).
Without these authorizations, airlines cannot purchase or use the credits for compliance, and project developers risk losing a key source of funding for climate-related initiatives—particularly in developing economies.
Industry concern over market risk
“CORSIA is a vital part of aviation’s global climate strategy. Through it, airlines mitigate their climate impact by funding verified emissions reductions in other sectors. In generating this climate finance CORSIA also plays a key role in both environmental and socio-economic progress, especially in developing countries. To unlock CORSIA’s climate finance potential and ensure its contribution to aviation’s decarbonization, states must authorize the release of EEUs. That is one of our top messages to the 193 member states at the ICAO Assembly,” said Yue Huang, Assistant Director Climate Policy, in an ICAO Skytalks session at the 42nd ICAO Assembly, in Montreal, Canada.
“Africa expresses support to CORSIA. Unlocking access to CORSIA-eligible units and attracting climate finance. This will enable Africa to show commitment to sustainability and shape global solutions with regional perspectives. This is about ensuring that our economies and operators benefit fairly from the transition to a low-carbon future,” said Adefunke Adeyemi, Secretary-General of the African Civil Aviation Commission (AFCAC) at the same event.
Efforts to support implementation
To assist governments, IATA has developed guidance materials and offers tools and workshops to support the LoA issuance process. The association continues to advocate for a robust, transparent carbon market that upholds the environmental integrity of the aviation industry’s global commitments.
Signatories to the joint statement include:
Airline Associations:
- International Air Transport Association (IATA)
- Airlines for America
- Airlines for Europe
- African Airlines Association
- Arab Air Carriers’ Organization
- Association of Asia Pacific Airlines
- Latin American and Caribbean Air Transport Association
- European Regions Airline Association
- Airlines Association of Southern Africa
- Airlines International Representation in Europe
- National Airlines Council of Canada
- Air Transport Action Group
Carbon Market Stakeholders:
- International Emissions Trading Association
- Global Carbon Council
Project Developers:
- Burnstoves
- Hestian
- Iceberg
- Koko Networks
- Korea Carbon Management
- Sistema.bio
- UpEnergy
- Valor Carbon
- WeAct
The call to action comes amid ongoing discussions at the 42nd ICAO Assembly, as the aviation sector seeks clarity and commitment from national governments to maintain the credibility and functionality of its global offsetting scheme.
