Countdown to MEPC 80: Island nations call for mid-term carbon cutting measures

The Marshall Islands, Solomon Islands and Tuvalu asked the IMO to adopt a “basket” of mid-term measures that combine a carbon levy and a GHG Fuel Standard.

PHOTO: Aerial view of Honiara Port on the Solomon Islands. Solomon Islands Port Authority

“An isolated GFS [Greenhouse gas Fuel Standard] is unable to provide an equitable transition. A [carbon] levy on its own lacks the ability to impose controls if the market fails to respond appropriately,” the three small island developing states (SIDS) explained in a joint proposal to the IMO. They argue that a basket of measures "could create a simplified package".

Unlocking the renewable energy potential

The Oceanian SIDS, or microstates, have significant renewable energy potential and abundant natural resources like solar, wind, geothermal and marine energy, Commonwealth Secretariat economic advisor Victor Kitange has written in a blogpost.

Yet this potential remains “largely untapped” due to limited economic resources and geographical drawbacks, he added.

With these renewable energy resources, these nations can produce low- and zero-emission marine fuels at lower costs than many developed countries, and at a much larger scale.

However, they require economic support and infrastructure to do so, Kitange pointed out.

In light of this, the Marshall Islands, Solomon Islands and Tuvalu have urged the International Maritime Organisation (IMO) to devise and adopt a set of mid-term measures rather than a single one. This could include carbon pricing combined with revenue disbursement mechanisms like a feebate, and a GHG Fuel Standard.

In their proposal to the IMO, they argue that a basket will “effectively promote the energy transition of shipping and provide the world fleet with the needed incentive to achieve a 1.5°C-aligned GHG reduction pathway” in an equitable manner.

In the meantime, other IMO members including the US, India, South Korea, EU countries and a group of seven African countries are also advocating for allocating parts of revenues generated from carbon pricing mechanisms specifically towards SIDS.

By Konica Bhatt

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