European aviation has been confronted with serious capacity challenges and high levels of delay, in particular, during the two years (2018-2019) leading up to the onset of COVID-19. The pandemic has, subsequently, revealed that the European airspace system lacks resilience and the ability to absorb demand shocks, be these in the form of increases or drops in air traffic. In view of this, in September 2020, the European Commission proposed an upgrade of the SES regulatory framework in order to modernise the management of European airspace and to establish more sustainable and efficient flightpaths. The amended proposal calls for a strengthening of the European network and its management to avoid congestion and suboptimal flight routes, the creation of an EU market for agile Air Traffic Management (ATM) data services provision and incentives, the streamlining of economic regulation for ATM, and for enhanced coordination for the definition, development and deployment of innovative solutions, among others.
Auction revenues from emissions trading systems (ETSs) have rapidly grown in recent years and are becoming an increasingly important consideration for policymakers. ETS revenues can play a key role in [...]