A new international agreement to regulate emissions from the shipping sector
New international agreement to regulate shipping sector emissions
In a step that represents significant progress towards achieving the goals of sustainable development and combating climate change, on Friday, April 11, the member states of the United Nations International Maritime Organization reached a historic agreement on setting a global standard for fuel emissions in theshipping sector, which includes imposing fees on ships that exceed established limits, and granting incentives to ships that use clean fuel.
This agreement came during the meetings held this week at the headquarters of the International Maritime Organization in London, despite the United States’ withdrawal from the talks and its call on other countries to take a similar position, while threatening to impose “reciprocal measures” in response to any fees that might be imposed on American ships.
However, the agreement received the support of most participating countries, as part of a collective effort to reduce net emissions of the international shipping sector by 20% by 2030, and to reach fullcarbon neutrality by 2050, which represents an international commitment to implementing the Paris Climate Agreement and reflects the global trend towards environmental sustainability.
Under this new mechanism, fees will begin to apply from 2028, when a fine of US$380 will be imposed for each additional ton of CO2 exceeded by a ship above the specified standard, in addition to another fine of US$100 for each ton exceeding a more stringent standard.
It is expected that the final ratification of the agreement will be completed during the organization’s upcoming meeting next October, in light of the continuing disagreements between countries regarding the pace of environmental transformation in the maritime transport sector. The talks had witnessed the exclusion of a proposal submitted by island countries in the Pacific Ocean, with the support of the European Union and the United Kingdom, to impose a stricter carbon tax that includes all emissions, due to opposition from countries such as China, Brazil and Saudi Arabia.
This system is expected to generate up to $40 billion in fees by 2030, which will be used in part to support reducing the cost of clean, zero-emission fuels, such as green ammonia and green methanol. Which enhances innovation in the marine energy sector and serves the Sustainable Development Goals (SDGs), especially Goal (7) “Clean and Affordable Energy,” and Goal (13) “Climate Action.”
At the technical level, the system will require ships, starting in 2030, to reduce the intensity of fuel emissions by 8% compared to 2008 levels, with this reduction rising to 21% according to more stringent standards. By 2035, these percentages will increase to 30% and 43%, respectively. Ships that exceed the established maximum limit will be rewarded with tradable carbon credits. Which enhances the spirit of cooperation and investment in more efficient technologies within the maritime sector.
International reactions to the recent agreement varied between cautious welcome and explicit reservations. The European Commission considered the agreement a “meaningful step” towards implementing the Paris Climate Agreement, but this does not guarantee the shipping sector’s full participation in achieving global climate goals. In the same context, British Transport Minister Heidi Alexander described the agreement as a qualitative push towards reducing emissions, praising its role in accelerating the development and adoption of clean fuels.
On the other hand, the Climate Minister of the Pacific island of Vanuatu, Ralph Regenvanu, expressed his disappointment, noting that the international community failed to support a package of measures that were capable of putting the shipping sector on a path consistent with the 1.5 degree Celsius target, which is the ceiling that scientists warned against exceeding to avoid the catastrophic effects of global warming.
Despite the controversy, the International Chamber of Shipping expressed its optimism that the agreement could contribute to accelerating the pace of zero-emission fuel production, stressing that governments have begun to realize the importance of stimulating investments in this vital sector. The environmental organization “Opportunity Green” expressed concerns that the agreement would lead to the consolidation of dependence on certain types of fuel, such as biofuel extracted from crops and liquefied natural gas, two options that do not achieve complete carbon neutrality.
In light of these global movements,Earth Guardsconfirms that this agreement – despite the reservations and questions surrounding it – represents a step towards environmental reform in the shipping sector, a promising path to promoting innovation in clean fuels, and supporting global climate goals in a more realistic and committed manner.
