WSC urges IMO to lend flexibility to first green fuel movers
The World Shipping Council (WSC) has warned that first decarbonisation movers could be penalised and sets out six regulatory points to support International Maritime Organisation's (IMO) greenhouse gas (GHG) reduction strategy.
PHOTO: Cruise ship in the Port of Gibraltar. Getty Images
WSC, which represents the international liner shipping industry, has voiced concerns of initial green fuel adopters. The liner group says that even with technological advances it is unlikely that zero carbon emission fuels would be produced with 100% renewable energy. And even if some fuels would be they would represent only a very limited share of the total.
The first shipping companies to consume low-emission fuels must be encouraged as they are investing in still nascent fuels and ship technologies.
There must be regulatory provisions that will not penalise first movers as the fuel is still in the initial stages and is yet to be made available using renewable energy production sources, recommends WSC.
The use of lower-carbon fuels produced through blue or grey processes - like hydrogen and ammonia - should also be incentivised as they are required in the short term, added WSC.
WSC identified six regulatory and economic pathways as follows:
- A global price on carbon combined with dependable and broad-based “buy down” programmes
- Transparent well-to-wake life cycle analysis of fuels
- Integrated development of global production and supply of zero GHG fuels
- A Green Corridors Programme
- New build standards
- Applied R&D for shipboard and shoreside systems
The 78th session of the IMO Marine Environment Protection Committee (MEPC 78) is pencilled in for June, where member states will discuss how to take the shipping regulator's initial GHG strategy further.
