Global airlines commit to net-zero CO2 emissions by 2050 at IATA’s Annual General Meeting

Global airlines have committed to reaching net-zero carbon emissions by 2050 at IATA’s Annual General Meeting in Boston, an ambitious challenge for the heavily polluting industry as it begins to recover from the crisis caused by Covid-19.

The target was agreed by members of the International Air Transport Association (IATA) on Monday Oct. 4, and came as the industry faced growing pressure to take new action to cut its emissions.

Aviation, which accounts for roughly 2 per cent of global emissions, is one of the most difficult industries to decarbonise, and IATA admitted that the target represented a significant challenge.

“Decarbonising the airline industry is a real challenge because we don’t have a clear solution in the short term,” said IATA director-general Willie Walsh. “But we do believe very strongly . . . there is a credible path to net zero.”

The industry’s roadmap relies heavily on sustainable aviation fuels, which are significantly less polluting than traditional kerosene, but currently in very short supply.

The plan also includes future, and unproven new technologies, including electric and hydrogen aircraft. Any remaining emissions could be mopped up by carbon capture or offsetting, IATA said.

In a sign of concern that governments could take action including environmental taxes if airlines did not decarbonise faster, Walsh urged countries to help airlines achieve net zero, rather than punish them for flying.

“Limiting flying with retrograde and punitive taxes would stifle investment and could limit flying to the wealthy. And we have never seen an environment tax actually fund carbon-reducing activities,” said the former British Airways boss.

He added that Boeing and Airbus were “not doing enough” to develop new technology to reduce emissions, and that any carrier that did not commit to reducing its carbon footprint “will be measured by consumers”.

Robin Hayes, chief executive of US carrier JetBlue, said that, unlike safety, airlines will compete on their commitment to lowering pollution levels.

“We all want the same thing,” he said. “Are we going to compete to get there? Hell yes . . . If that gets us to achieve this goal quicker, I think that is a very good thing.”

The net-zero target faced opposition from Chinese airlines, which wanted to delay the commitment to 2060, reflecting the difficulty in persuading developing nations to agree to climate targets that could hinder an expected surge in demand for flying in the coming decades.

The climate targets come as the industry prepares for a painful recovery from the pandemic over the coming years.

On Monday, IATA forecast global airlines will lose a further $11.6bn next year, down from an expected $52bn in 2021 and $137.7bn in 2020.

Buoyed by a significant domestic market, the US industry is the only region expected to return to profit in 2022.

“We are well past the deepest point of the crisis. While serious issues remain, the path to recovery is coming into view,” said IATA DG Walsh.