INTERCARGO joins Greek shipowners in welcoming EU ETS amendments

The International Association of Dry Cargo Shipowners (INTERCARGO) backs proposed amendments to the EU Emission Trading System (EU ETS) that could see commercial operators bearing more of the cost for ship emissions.

PHOTO: Dry bulk carrier Star Polaris. Star Bulk

INTERCARGO joins The Union of Greek Shipowners (UGC) in embracing the inclusion of commercial operators, following concerns raised by the World Shipping Council (WSC) last month.

INTERCARGO represents the dry bulk sector, which accounts for 43% of the world’s fleet tonnage. The organisation stresses that shipping companies are not always the commercial entities controlling ships, and should not solely be responsible for greenhouse gas (GHG) emissions.

It goes on to say that a considerable share of bulk carrier operations are administered by charterers. Though charterers are not responsible for the procurement fuel, they play a vital role in operational decisions such as speed of transit. Decisions that directly affect vessel emissions, says INTERCARGO.

According to organisation's chairman Dimitrios Fafalios, "the proposal recognises the need to establish a contractual requirement between the shipowner and commercial operator to pass on the costs, it must be understood that this will be easier said than done."

A final EU vote on the amendments is expected in June this year.