EU carbon trading scheme for maritime industry has 25 million mt CO2 loophole - T&E

The EU's proposed carbon pricing of maritime emissions applies only to ships above 5,000 mt gross tonnage, leaving the door open to over 25 million mt carbon dioxide emissions, says clean transport NGO Transport & Environment (T&E) in a new white paper.

PHOTO: The emissions overlooked by the EU is equal Denmark’s total CO2 emissions, says T&E. Transport & Environment

The exemptions cover fishing and military vessels as well as yachts. Offshore gas and oil vessels, which on an average emit more than bulk carriers and oil tankers, are also exempt. All of these vessels account for nearly 20% of EU’s shipping emissions, says T&E.

“The EU must rethink its shipping laws to ensure that millions of tonnes of CO2 don’t go unregulated,” says Jacob Armstrong, sustainable shipping officer at T&E.

T&E suggests an annual 1,000 mt CO2 emission threshold for the shipping industry to cover 12% more of European shipping emissions than the EU's current proposal.

This would apply to ships above 400 mt gross tonnage, not just those above 5,000 mt gross tonnage covered by the European Commission's proposed Emissions Trading System (ETS).

At around 130 million mt annually, the shipping industry emits around 4% of EU’s total emissions.