An economic analysis of maximum take-off weight (MTOW) reductions under an ICAO CO2 standard
As part of efforts to address the impact of aircraft emissions on the global climate, the International Civil Aviation Organization (ICAO) is currently developing the world’s first CO2 emission standard for aircraft. While that standard aims to promote the development and deployment of fuel efficiency technologies on new aircraft, the metric developed for the standard may also allow for compliance via non-technology means, notably through reductions in maximum aircraft certificated take-off weight (MTOW).
GRA, Incorporated has prepared this report to the ICCT to assess how an MTOW constraint, which would lead to a lower nominal payload-range capability for affected aircraft, would influence the economic value of several representative aircraft types. The analysis finds that a reduction in MTOW of 5% from maximum values would only marginally effect operations for the aircraft types investigated, leading to modest reductions in the economic value of the aircraft investigated (well under one percent of baseline revenues for commercial jets). Larger MTOW reductions on the order of 10% would significantly impact operations and airline revenue, particularly for narrow-body aircraft operating in the United States.