Aviation Emissions Trading Compliance

AVOCET has developed specific expertise in managing EU ETS risk exposures and provides dedicated risk mitigation and advisory resources to banks, aircraft lessors and investors. Management of ETS credit risks is a difficult task due to the complexities of the scheme including confidentiality undertakings and external political influences.

The introduction of aviation into the European Emissions Trading Scheme (EU ETS) is likely to increase aircraft owner credit risk exposures to a number of airlines both within and outside of Europe. Any applicable aircraft operator that fails to register or comply with EU ETS regulations may face substantial financial penalties as well as a potential withdrawal of their aircraft operator’s certificate.

ETS presents aircraft financiers and lessors with an additional due diligence obligations that need to be continually monitored and professionally controlled.

This may require having to deal with a number of different entities including Government Departments, EU ETS accredited verifiers and carbon traders.

AVOCET provides a comprehensive service to mitigate Aircraft Owners EU ETS exposure.