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A global market-based measure for aviation will have minimal impact on developing countries

A study by researchers from Cambridge University and other institutions has found that carbon taxes, offsets and other market-based measures (MBMs) could address the impact of CO2 emissions from international aviation, without significant financial impacts to the world’s poorest countries.

The report, compiled by researchers from Climate Strategies, Cambridge University, CE Delft, Cambridge Econometrics, and TAKS (Transport Analysis and Knowledge Systems), examined the economic impacts of MBMs in shipping and aviation for ten countries across the world. The countries considered were Mexico, China, India, Trinidad and Tobago, Togo, Kenya, Maldives, Samoa, Cook Island and Chile.

The research found that MBMs could play an integral role in reducing aviation and shipping’s emissions while only impacting the GDP of the ten countries studied by less than 0.01% on average.  

The countries most affected by MBMs were those reliant on tourism and trade by air and sea. Yet the research found that the inclusion of strategies to limit negative effects, such as exemptions on certain routes, lump sum rebates and the development of more efficient aircraft, could all play a role in reducing any impacts.

The study modelled the implementation of MBMs, such as global emissions trading, mandatory carbon offsets and an international fund for greenhouse gas emissions, under the scenario of aiming to limit international aviation emissions at 10% below 2005 levels.

The findings of the study support calls for the introduction of a global MBM as a required approach for tackling aviation’s growing emissions.

More information can be found here.