HomeScience & EnvironmentGlobal breakthrough agreement to...

Global breakthrough agreement to tackle shipping emissions

Esme Stallard

Climate and science reporter

Costfoto/NurPhoto/Getty Images Aerial shot of red cargo ship with smaller ships dotted around unloading goodsCostfoto/NurPhoto/Getty Images

Countries have agreed a global deal to tackle shipping emissions, after nearly ten years of negotiations.

The agreement covers the vast majority of the world’s commercial shipping and means that starting in 2028, ship owners will have to use increasingly cleaner fuels or face fines.

The deal was nearly derailed after Saudi Arabia forced a last minute vote and the US pulled out of talks in London – but it eventually passed on Friday.

Small island states and environmental groups were angry that a blanket tax was not agreed to and called the deal “unfit for purpose”.

Shipping accounts for around 3% of global emissions. But unlike many other sectors it has struggled to reduce its carbon footprint over the last decade and is reliant on fossil fuels like diesel.

But the agreement means it is now the first industry in the world with internationally mandated targets to reduce emissions.

The agreement was passed at the UN’s International Maritime Organisation (IMO) meeting.

It will require owners of large international vessels to increase their use of less carbon intensive fuels or face a penalty of up to $380 per tonne of carbon dioxide emissions they emit from burning fuel.

Although the final agreement was passed, it had to be put to a vote – an unusual move for UN bodies that usually agree measures by consensus.

The vote was requested by Saudi Arabia, who did not support the agreement, and this position was shared by a dozen other oil-producing nations, including Russia.

Although they opposed the proposal, they will be bound to implement it because they are members of the IMO.

There have been moves to improve the efficiency of ships, but emissions have continued to increase in line with global trade – 90% of which is carried by ships.

The most effective measure would be to switch ships away from fossil fuels to green fuels, but that would be very expensive.

“There is no fuel as cheap as diesel that ships use today because when we take crude oil out of the ground, we take out all the nice bits, that’s the kerosene for aviation, diesel and petrol for cars,” said Faig Abbasov, programme director for maritime transport at think tank Transport and Environment.

“Whatever is left at the bottom, that’s what ships burn. So no fuel will be as cheap as this because not much energy goes into its production,” he said.

In comparison, the most environmentally friendly fuels like e-kerosene and ammonia are created from initially splitting water atoms to obtain hydrogen, which is a very energy-intensive and costly process.

Figures vary depending on the fuel type but the World Economic Forum estimates that these green fuels are 3-4 times more expensive to produce.

“There’s still a huge cost gap between the fossil fuels and the zero emission fuels and we need to close this gap. So you need carrots and sticks and in shipping the stick is not that big yet to use sustainable fuels,” said Refke Gunnewijk, program manager for sustainable transport at the Port of Rotterdam.

Reuters Red, blue and white containers sit stacked up on the side of a port. In the water is a cargo ship with containers being loaded on and off.Reuters

Nearly 90% of the world’s goods are moved via ship and the industry continues to grow in line with trade volumes

Some island states also abstained and said the deal was a watered down version of what they hoped for. An earlier proposal to apply a blanket carbon tax or levy – which would have been a world first – was dropped.

“Let us be clear about who has abandoned 1.5°C. Saudi Arabia, the US and fossil fuel allies pushed down the numbers to an untenable level and blocked progress at every turn,” said Ralph Regenvanu, minister of energy and climate change for Vanuatu.

Their disappointment was shared by environmental groups.

“This week, IMO member states squandered a golden opportunity for the global shipping sector to show the world how it can turn the tide on catastrophic climate heating, putting their own goals out of reach”, said Delaine McCullough, president of the Clean Shipping Coalition.

It is estimated that the agreement could achieve an 8% reduction in emissions for the sector by 2030, according to the maritime consultancy UMAS. This would be short of the IMO’s target agreed two years ago to cut emissions by 20% by the end of the decade.

But China and Brazil had previously raised concerns that a levy could result in a significant price increase for basic goods like food. Both countries backed the final deal.

Jesse Fahnestock, director of decarbonisation at the Global Maritime Forum, said that the deal was a compromise.

“It is a difficult set of decisions, but it is the first regulation of its kind and that is to be celebrated,” he said.

Fahnestock added it was unclear if the penalties were enough to close the cost gap between the fuel types.

“You may have incentivised shipowners to prepare a bit for the future fuels but whether the signal is strong enough to get the billions of dollars of investment into the production facilities for these fuels – I don’t think these regulations will overcome that. I think more will need to be done,” he said.

Any money raised from the penalties will be put into a “Net Zero” fund, with money spent on scaling up greener fuels and supporting developing countries.

It is this “redistribution” that prompted the US delegation to pull out of the talks on Tuesday night. A letter was sent by the US to all countries at the IMO negotiations saying any levy would cause inflation and if it was passed then “reciprocal measures” would be taken.

Although the US move was at odds with its long-held position at the IMO, it was in keeping with President Trump’s push back on climate action seen over the last few months – such as withdrawing the US from the Paris Climate Agreement.

But industry and country delegates appeared unperturbed when speaking to the BBC on Wednesday and continued with negotiations.

The US only flags 178 cargo ships that represent 0.57% of worldwide commercial shipping tonnage. So if it took the decision not to implement the new proposals it is unlikely to make a significant difference to the funds raised.

Now the committee have agreed the measure, it is expected to be formally adopted in October.

Thin, green banner promoting the Future Earth newsletter with text saying, “Get the latest climate news from the UK and around the world every week, straight to your inbox”. There is also a graphic of an iceberg overlaid with a green circular pattern.

Source link

- A word from our sponsors -

spot_img

Most Popular

More from Author

- A word from our sponsors -

spot_img

Read Now

Grammy Awards announce 2026 nominations with Kendrick Lamar leading. See the list of nominees.

The 68th Grammy Awards nominations are out, with Kendrick Lamar leading with nine nods.Following Lamar, Lady Gaga, Jack Antonoff and Canadian producer and songwriter Cirkut received seven nominations. Bad Bunny, Sabrina Carpenter, Leon Thomas and Canadian audio engineer Serban Ghenea were all nominated...

Lenskart, Groww IPO GMPs Fall Before Listing; Time For Investors To Reassess Primary Market? | Ipo News

Last Updated:November 08, 2025, 15:55 ISTLenskart and Groww IPOs saw GMPs drop 75 percent post-subscription despite strong oversubscription, highlighting risks of chasing grey market hype over company fundamentals.News18The grey market premium (GMP) of two heavyweight initial public offerings (IPOs) of recent times — Lenskart Solutions and Groww...

With presidents and royalty in attendance, Egypt unveils $1bn cultural ‘GEM’

Prime ministers, presidents and royalty descended on Cairo on Saturday to attend the spectacle-laden inauguration of a sprawling new...

James Watson, co-discoverer of the shape of DNA and Nobel Prize winner, dies at 97

James D. Watson, whose co-discovery of the twisted-ladder structure of DNA in 1953 helped light the long fuse on a revolution in medicine, crimefighting, genealogy and ethics, has died, according to his former research lab. He was 97.The breakthrough — made when the...

Alex Cooper apologizes to Taylor Swift for bizarre admission

Alex Cooper is not holding back when it comes to her love for Taylor Swift.As per a new report...

‘Unsubstantiated Rumours’: RBI Dismisses Reports Of Selling 35 Tonnes Of Gold | Economy News

New Delhi: The Reserve Bank of India (RBI) on Friday denied social media claims that it sold 35 tonnes of gold from its reserves, calling them "unsubstantiated rumours". In a post shared by the PIB Fact Check Unit on X, the central bank clarified that no such...

Wind Speed Shocker: Dust Devils Show Mars Is Much Stormier | World News

Studying winds on Mars is very difficult. On Earth, we can easily use weather balloons or satellite tools to measure wind directly. But on Mars, there are very few places where scientists can put instruments — and the air on Mars is extremely thin. Because of this,...

Government says ‘fairer’ motoring tax system is needed amid pay-per-mile report

Your support helps us to tell the storyFrom reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines...

Hamza Ali Abbasi gets real about adultery

Hamza Ali Abbasi. Photo: file ...