However, as of 2026, the ETS has significantly tightened regulations for aviation, with free emission allowances being entirely phased out. Photo: stock.adobe.comDue to the removal of these free allowances, airlines say they are facing significantly higher operating costs, with estimates of hundreds of millions of Euros in extra annual costs for many major airlines. How did the European free emission allowance scheme work? However, over the past two years, the free emission allowance has been reduced – first by a quarter in 2024, then by half in 2025, and for 2026, European airlines will receive zero free emission rights. ERA highlights SAF documentation issuesAnother issue that will affect just how much airlines are fined in 2026 has also recently become known.

Source: Ethiopian News February 18, 2026 11:43 UTC