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Liner shippings and roro carriers are calling for clear global regulations from the International Maritime Organization (IMO) to ramp up decarbonization efforts in the industry, noting that transitioning global shipping from a carbon dependent industry into one that operates without greenhouse gas (GHG) emissions is a massive task.
During the World Shipping Council (WSC) press event, executives from various member firms said container lines and roro carriers are already investing in the development of zero GHG technologies and are committed to enabling the industry's transition to zero.
However, they maintained that despite their individual efforts as companies, clear regulations are needed to fastrack decarbonization in the whole shipping industry.
"Liner shipping understands the shared responsibility for GHG reductions in the maritime sector, and we don't underestimate the challenge. We are committed to decarbonising shipping and have multiple ideas and projects in the pipeline. But to be able to make these investments, to take the necessary risks, we – and all other maritime actors – need a regulatory framework that addresses the key strategic issues," John Butler, President & CEO of WSC told members of the media.
"We are now offering our perspective on the critical pathways the IMO should consider as it tackles this global challenge. Action is needed now by the governments of the IMO so as not to stall development but rather to support ambitious innovators and front runners," he added.
The WSC then unveiled six regulatory and economic pathways, which the organization pointed out are "critical" for the nations of the UN International Maritime Organization to address a successful maritime energy transition.
Six pathways to shipping decarbonization
The six regulatory and economic guidelines include: 1) a global price on carbon combined with dependable and broad-based "buy down" programmes that effectively level the playing field among newer low and zero GHG ships and the tens of thousands of ships that will still be burning conventional fuels; and 2) transparent well-to-wake life cycle analysis of fuels, breaking out well-to-tank emissions and tank-to-wake emissions, combined with regulatory mechanisms to incentivize first-movers for use of alternative fuels that offer significant GHG reductions even if they are not available from fully renewable sources from the start.
The WSC also proposes the integrated development of global production and supply of zero GHG fuels through partnerships between IMO member states and energy providers, as well as regulatory provisions that allow for flexibility in the initial stages of the energy transition, given that zero GHG fuels will not be available at the same time around the globe.
It added that a "Green Corridors Programme" should also be put in place to accelerate an equitable fuel and technology transition, introducing zero GHG ships and fuels across trade lanes where the necessary shoreside energy infrastructure is first available.
"This will speed development of best practices and encourage IMO member states and interested parties to focus on government-to-government initiatives and coordinated public-private investments to build the necessary production facilities and supply infrastructure," WSC said.
The trade organization representing the international liner shipping industry, also urged the IMO for new build standards that support the energy transition, such as requiring ships built after a certain date to be able to operate on zero GHG fuels or not allowing the construction of vessels that can only operate on fossil fuels after a certain date.
It said applied R&D for shipboard and shoreside systems that allow the safe use of zero GHG fuels is also necessary to put zero emission ships on the water.
In June this year, the 78th session of the International Maritime Organisation’s Marine Environment Protection Committee (IMO MEPC 78) will consider further development of IMO’s GHG Strategy.
"There will be no single or simple fuel technology solution, no single party that can set the pace, no single regulation that will drive the necessary change," Butler said.
"The reality will be a complex multi-technology, multi-stakeholder development process that needs to be driven and supported by an array of mutually reinforcing global regulations. Maritime actors, technology providers, fuel innovators, organisations and regulators will need to work together to decarbonise shipping in line with the Paris agreement," he added.
The critical pathways have been further detailed and submitted by WSC to the IMO (MEPC 78/7).
WSC said each and every one of these elements should be part of an expanded IMO GHG Strategy, and WSC looks forward to working with member states and organisations to develop and integrate these elements into explicit regulations and programmes.
"We are looking to decarbonise shipping as soon as possible and will continue to lead the way in enabling shipping's transition to zero. But we cannot do this alone. If we are to decarbonise shipping in line with the Paris agreement, the governments of the IMO must work together," Butler continued, adding that the focus in the coming years must be to develop and implement "innovative, concrete and equitable global regulatory frameworks" related to decarbonizing the industry.
"These are complicated matters and we do not pretend to have all the answers. What we do know is that we must develop these critical pathways together to address the climate challenge and transition the fleet to zero GHG ships," the WSC chief added.
