People are shunning air travel in parts of Europe, particularly Scandinavia, due to the emissions it generates. Numerous studies point to travel by plane as one of the most emissions intensive modes of travel. For context, aviation carbon dioxide emissions only account for ~2.5% of global emissions.
The number of airline passengers globally is expected to double to 8.2 billion by 2037. Emissions from the aviation sector could more than double by 2050, if the sector does not respond. Governments and industry bodies are implementing policies, including emission reduction targets and aviation taxes, to try to stem the growth in emissions. Airlines and airports are also responding with offset programs and pledges towards carbon neutrality.
The Global Listed Infrastructure fund only invests in aviation through airports and not airlines. Airports globally form roughly 5% of aviation emissions, or roughly ~0.12% of global emissions.
Numerous listed airports are pursuing energy efficiency, emissions reduction and offset programs to reduce their carbon footprint. Our investment process uses an environmental quality ranking that favours airports taking action towards becoming carbon neutral.
Given aviation is likely to remain an emissions intensive industry for the near future, your best bet to fly guilt-free is to fly with airlines that offer carbon offset programs and depart from airports that are on a journey towards carbon neutrality.
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