ESG Global Vision

Environment, corporate governance

Varies between participating states 

CORSIA applies to airline operators who fulfil the following criteria:

• their annual CO2 emissions from international flights using aeroplanes with a take-off mass greater than 5,700kg exceed 10,000 tonnes (all major carriers meet this relatively low threshold);
• they are responsible for international flights (flights by state aircraft and humanitarian, medical, and firefighting flights, as well as flights before or after such flights which are carried out by the same aeroplane and are needed for these activities, are not included); and
• they are registered in one of the participating states (see the list as of 1 January 2026 here; notable omissions include India and China).

In 2010, the International Civil Aviation Organisation (ICAO), a United Nations Agency that sets global standards and regulations for international civil aviation, adopted a sectoral aspirational goal for carbon neutral growth from 2020 onwards. Whilst operational and technological improvements are seen as a key part of achieving this goal, the ICAO took the view that a market based scheme was required to fill the remaining emissions gap and to achieve carbon neutral growth. Accordingly, the International Standards and Recommended Practices for the implementation of CORSIA were adopted as an Annex to the Chicago Convention in 2016, to apply to all of ICAO’s 193 member states from 1 January 2019.

CORSIA is being implemented in three phases:

• The Pilot Phase (2021-2023) and the First Phase (2024-2026). During these phases participation by ICAO member states was voluntary. 126 member states participated, with flights between participating states subject to reporting and offsetting requirements.
• The Second Phase (2027-2035). During this phase, with some exemptions, such as for Least Developed Countries and Small Island Developing States, participation will become mandatory for all ICAO member states and all international flights will be subject to offsetting requirements. The Second Phase will be split into three-year compliance periods.

In scope airline operators are under the following obligations:

• To monitor and report emissions from international flights on an annual basis.
  • At the beginning of each 3-year compliance period, an operator is required to submit an Emissions Monitoring Plan to its administering state which, once approved, the operator will use for the entire compliance period.
  • Under the plan, the operator is required to monitor and record its fuel use for international flights over the course of each calendar year. The operator must then estimate their annual CO2 emissions and report them to the national authority of their administering state by 30 April the following year. To guarantee the accuracy of the data reported, operators will need their annual emissions report to be verified by an impartial third-party verification body prior to submission.
  • Aggregated emissions are required to be reported by each administering state to ICAO, which will publish the total emissions from individual operators.
• To offset their emissions.
  • Under the scheme, the administering state calculates the annual offsetting requirements for each operator by multiplying the operator’s CO2 emissions by a ‘Growth Factor’, which is calculated by the ICAO and represents the percentage growth of the aviation sector’s international CO2 emissions covered by CORSIA’s offsetting requirements in a given year compared to the sector’s baseline emissions (being 85% of 2019 emissions levels).
  • Upon completion of each 3-year compliance period, the operator will have to show they have met their offsetting requirements by purchasing and cancelling the appropriate number of certified CORSIA Eligible Emissions Units (“CEEUs”) (each representing a tonne of CO2). The price of these units varies considerably depending on the type of project ($0.50 to $45/tCO2e during 2020-2021 with a weighted average of $3.08/tCO2eq in 2021).
  • Operators can also reduce their offsetting requirements by using CORSIA Eligible Fuels (“CEFs”) that meet the CORSIA sustainability criteria, which includes fuels with at least 10% lower CO2e emissions on a life-cycle basis compared to a reference fossil fuel value of 89.1 gCO2e/MJ. It is worth noting that as the baseline for calculating emissions reduction targets is 85% of 2019 emissions levels, offsetting requirements will only cover the growth in emissions since 2019 and therefore it is anticipated that the percentage of their total emissions that operators will have to offset will remain modest for the first few years of implementation of the scheme.

For more information, please follow the link here.

Penalties and enforcement:

National aviation authorities of participating states determine the sanctions for non-compliance, so these vary between countries. In the UK, for example, typical civil penalties can include a £20,000 penalty with a further daily penalty of £500 for failing to: (i) apply or revise an emissions monitoring plan; (ii) monitor emissions properly; or (iii) submit emissions reports. In recent consultations, the UK government has indicated that the penalties for failing to cancel CEEUs on time in line with an airline’s offsetting requirements would be £100 for each uncancelled unit.

Law

In force

The Malian State and Defenders of human rights (whether individuals, groups or institutions)

This law sets out the rules relating to defenders of human rights (who are defined as anyone, whether individuals, groups or institutions that seek to promote, protect or realise human rights or fundamental freedoms at the local, national, regional or international level.)

They have freedom to:

• meet in a peaceful way;
• create organisations or associations;
• communicate with others with similar aims, including international organisations and both governmental and non-governmental entities;
• research and seek information on human rights and fundamental freedoms
• evaluate the effectiveness of these rights and freedoms, and draw the public’s attention to them
• not be arrested or detained because of opinions they express and reports published in the framework of their activities.

They must:

• respect the organs and institutions of the State;
• remain impartial, respect others and safeguard public security and the general interest;
• contribute to upholding democracy.

The State must:

• promote and protect human rights and fundamental freedoms, and adopt any necessary legislation to ensure this;
• facilitate the task of defenders of human rights including by providing access to information and documents necessary for them to carry out their activities and access to those detained
• guarantee the confidentiality of sources of information provided by defenders of human rights;
• protect any defender of human rights on their territory, as well as family members and collaborators.

Labour law

In force

Physical persons and legal entities

This Code governs investments in Mali. The texts ensure:

• Equality of treatment between foreign and local investors;
• Protection against nationalisation and expropriation or requisition of a company;
• Free access to raw materials and to land;
• Rights to transfer funds or to undertake capital and financial transactions

However, it states that Investors should give priority to local employees, unless the former cannot meet the requirements for the position. The hiring procedure is the same for both local and foreign employees

Labour Law

In force

Physical persons and legal entities

While the hiring procedure is the same for both local and foreign employees (see above), employment contracts for foreign employees must:

• be in writing;
• be subject to prior approval and issuance of a visa from the National Directorate of Labour. (Foreign employees also need to obtain a work permit);
• consist of four signed original copies; and
• provide information on the foreign employee and their local employers.
• For the first two years of their residence in Mali, their employment contracts must be for a fixed term.
• Failure to comply with this can lead to fines (which can be doubled for repeat offences).

Environment, corporate governance

Varies between participating states 

CORSIA applies to airline operators who fulfil the following criteria:

• their annual CO2 emissions from international flights using aeroplanes with a take-off mass greater than 5,700kg exceed 10,000 tonnes (all major carriers meet this relatively low threshold);
• they are responsible for international flights (flights by state aircraft and humanitarian, medical, and firefighting flights, as well as flights before or after such flights which are carried out by the same aeroplane and are needed for these activities, are not included); and
• they are registered in one of the participating states (see the list as of 1 January 2026 here; notable omissions include India and China).

In 2010, the International Civil Aviation Organisation (ICAO), a United Nations Agency that sets global standards and regulations for international civil aviation, adopted a sectoral aspirational goal for carbon neutral growth from 2020 onwards. Whilst operational and technological improvements are seen as a key part of achieving this goal, the ICAO took the view that a market based scheme was required to fill the remaining emissions gap and to achieve carbon neutral growth. Accordingly, the International Standards and Recommended Practices for the implementation of CORSIA were adopted as an Annex to the Chicago Convention in 2016, to apply to all of ICAO’s 193 member states from 1 January 2019.

CORSIA is being implemented in three phases:

• The Pilot Phase (2021-2023) and the First Phase (2024-2026). During these phases participation by ICAO member states was voluntary. 126 member states participated, with flights between participating states subject to reporting and offsetting requirements.
• The Second Phase (2027-2035). During this phase, with some exemptions, such as for Least Developed Countries and Small Island Developing States, participation will become mandatory for all ICAO member states and all international flights will be subject to offsetting requirements. The Second Phase will be split into three-year compliance periods.

In scope airline operators are under the following obligations:

• To monitor and report emissions from international flights on an annual basis.
  • At the beginning of each 3-year compliance period, an operator is required to submit an Emissions Monitoring Plan to its administering state which, once approved, the operator will use for the entire compliance period.
  • Under the plan, the operator is required to monitor and record its fuel use for international flights over the course of each calendar year. The operator must then estimate their annual CO2 emissions and report them to the national authority of their administering state by 30 April the following year. To guarantee the accuracy of the data reported, operators will need their annual emissions report to be verified by an impartial third-party verification body prior to submission.
  • Aggregated emissions are required to be reported by each administering state to ICAO, which will publish the total emissions from individual operators.
• To offset their emissions.
  • Under the scheme, the administering state calculates the annual offsetting requirements for each operator by multiplying the operator’s CO2 emissions by a ‘Growth Factor’, which is calculated by the ICAO and represents the percentage growth of the aviation sector’s international CO2 emissions covered by CORSIA’s offsetting requirements in a given year compared to the sector’s baseline emissions (being 85% of 2019 emissions levels).
  • Upon completion of each 3-year compliance period, the operator will have to show they have met their offsetting requirements by purchasing and cancelling the appropriate number of certified CORSIA Eligible Emissions Units (“CEEUs”) (each representing a tonne of CO2). The price of these units varies considerably depending on the type of project ($0.50 to $45/tCO2e during 2020-2021 with a weighted average of $3.08/tCO2eq in 2021).
  • Operators can also reduce their offsetting requirements by using CORSIA Eligible Fuels (“CEFs”) that meet the CORSIA sustainability criteria, which includes fuels with at least 10% lower CO2e emissions on a life-cycle basis compared to a reference fossil fuel value of 89.1 gCO2e/MJ. It is worth noting that as the baseline for calculating emissions reduction targets is 85% of 2019 emissions levels, offsetting requirements will only cover the growth in emissions since 2019 and therefore it is anticipated that the percentage of their total emissions that operators will have to offset will remain modest for the first few years of implementation of the scheme.

For more information, please follow the link here.

Penalties and enforcement:

National aviation authorities of participating states determine the sanctions for non-compliance, so these vary between countries. In the UK, for example, typical civil penalties can include a £20,000 penalty with a further daily penalty of £500 for failing to: (i) apply or revise an emissions monitoring plan; (ii) monitor emissions properly; or (iii) submit emissions reports. In recent consultations, the UK government has indicated that the penalties for failing to cancel CEEUs on time in line with an airline’s offsetting requirements would be £100 for each uncancelled unit.

Environmental law

In force

Any physical person or legal entity

This law sets out the fundamental principles controlling pollution and nuisance.

Any activities which could harm the environment require preapproval from the Minister for the Environment based on an environmental impact report (Art.3).

Furthermore, an environmental audit is required for any industrial, agricultural, mining, artisanal, commercial or transport work which could cause any pollution, nuisance or degradation of the environment (Art.5).

There are rules relating to domestic waste (Art. 9-14) and to agricultural waste (art. 15-16)

Biomedical and industrial waste disposal requires pre-authorisation from the Minister of Environment. Liquids must be treated before disposed of. Solid waste must be disposed of in specified areas and incineration requires a licence. (Art. 17-20)

Buildings, industrial, artisanal and agricultural establishments, mines and quarries, motors (such as vehicles, generators, mills) or other movable objects owned, used or held by individuals must be built or used in such a way as to avoid atmospheric pollution. (Art. 27)

Use of an industrial unit cannot exceed the usual emission limits, polluting the air with smoke, dust, gas or liquids. (Art. 28)

Importing, using, storing or distributing chemical substances is illegal without prior approval or certification.  Waivers can be granted by an order issued jointly by the Ministers of Health, Environment and Scientific Research, to institutions specialised in research and experiments. (Art. 35)

Anyone involved in import, production and distribution of chemical substances must obtain authorisation from the Ministers of Environment, Health, Agriculture and Industry. (Art. 36)

Law

In force

Importers of renewable energy equipment

This law ensures from May 2020 that the importation of materials and equipment for the production of renewable energy is exempt from taxes, with the exception of the community solidarity levy and the statistical fee. This means VAT and import taxes will no longer be levied on equipment such as solar panels, wind turbine blades, pump turbines and others.

This decision was taken by the Council of Ministers in  March 2020 to “allow the improvement of the energy mix, the continuation of investments in solar energy and the respect of the commitments made by the Government in terms of reducing greenhouse gas emissions, promoting clean energy and safeguarding the environment.”

Law on agricultural development

In force

Anyone (physical or legal entity) involved in the agriculture sector

This law sets out the policy for agricultural development in Mali. It aims to promote sustainable agriculture which is both modern and competitive, and create a structured environment for development of the sector.

The law takes into account Mali’s programme of decentralisation and looks at the specific situation of each region to determine ways of reaching its objectives. For example there is a section relating to desertification in the north of the country.

 Law creating a Fund

In force

Those involved in sustainable development projects

This legislation created a Fund for Sustainable Development (“Fonds pour le Développement durable (FDD)”) which finances projects and programmes for sustainable development spread equally throughout the regions of Mali.

The Fund’s resources are agreed annually by the finance law and come from these sources :

• General Solidarity Contribution (see Law N°2018-010 below)
• 50% of the solidarity contribution on aeroplane tickets
• Solidarity tax on tobacco controls (see Law N°2018-010 below)
• 50% of the special tax on the import of tourism vehicles whose power is great than 13 horsepower.
• Tax on the export of cotton (see Law N°2018-010  below)
• Grant from the State budget
• Gifts

A decree from the Council of Ministers (see below) sets out the organisation and management of this Fund.

Tax Law

Taxes that applied from February 2018-February 2021

All physical persons and legal entities

This law set up some new taxes solely to provide resource for the FDD mentioned above.

• General Solidarity Contribution – levied for a period of three years from 12 Feb. 2018, at a rate of 0.5% on the business turnover.
• Solidarity tax on tobacco controls – again for a period of three years. Applies to both imports and exports. Rate of 5% of the custom duty.
• Tax on the export of cotton – again for a period of three years. Cotton exporters to pay a tax of 0.75% of the value of the product being exported.