July 2, 2025
European air carriers operate in a highly competitive market where the overall costs associated with Fit for 55 policies make traveling to or through EU destinations more expensive.
This report analyses how existing policies designed to combat carbon leakage in other sectors, such as a Carbon Border Adjustment Mechanism (CBAM), could be applied to aviation through a SAF Border Adjustment Mechanism (SAF-BAM), which could help reduce or eliminate future carbon and business leakage effects of ReFuelEU.
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July 2, 2025
Creating a level playing field for decarbonisation in aviation: The role of Border Adjustment Mechanisms and alternative policies to prevent carbon leakage and maintain EU airlines competitiveness
Study
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