Assessment of potential carbon leakage in the aviation and maritime sectors and mitigating measures

The project supports the reports to the European Parliament and to the Council due in 2027 under the ReFuelEU Aviation Regulation and the FuelEU Maritime Regulation on the subject of a risk of carbon leakage in the maritime and aviation sectors and possible mitigating measures.

The study identifies routes and hubs at a risk of carbon leakage and identifies and assesses the feasibility of mitigating measures to address the carbon leakage risk. The study also identifies routes and hubs at a risk of loss of competitiveness not associated with carbon leakage and identifies and assesses potential mitigating measures to address this risk.

Carbon leakage mitigation measures analysed as part of this project include: the extension of CBAM to transport services, creation of an EU climate levy, similar levels of carbon pricing on different global aviation routes, provision of targeted EU ETS allowances for aviation, potential changes to the taxation system for aviation, capacity building in third countries, potential measures in Air Services Agreements, change of criteria for the establishment of the list of neighbouring container transhipment ports, changes in the scope and targets of the FuelEU Maritime Regulation.