Business, Freight News, Sea

Shipping CEOs Call for Accelerating GHG Efforts

[ February 2, 2024   //   ]

The CEOs of leading global shipping lines issued a joint declaration at COP 28 calling for an end date for fossil-only powered newbuilds, and urged the International Maritime Organization to create the regulatory conditions to accelerate the transition to green fuels.
To achieve IMO’s 2030, 2040 and net-zero 2050 greenhouse gas targets, shipping lines are transitioning from fossil to green fuels. The industry accounts for 2 percent to 3 percent of global GHG emissions.
In the declaration, the CEOs said: “Being at the forefront of introducing GHG emission ships underscores the CEOs’ commitment to the IMO GHG reduction objectives for 2030, 2040, and 2050. As frontrunners, the CEOs are convinced that even closer collaboration with IMO regulators will produce the effective and concrete policy measures needed to underpin the investment within maritime shipping and its ancillary industries that will enable decarbonization to occur at the pace required.”
The joint declaration calls for establishment of four regulatory “cornerstones”:
• An end date for new building of fossil fuel-only vessels and a clear GHG Intensity Standard timeline.
• An effective GHG pricing mechanism.
• A vessel pooling option.
• A Well-to-Wake or lifecycle GHG regulatory basis to align investment decisions with climate interests and mitigate the risk of stranded assets.
Participating CEOs are: Vincent Clerc, A.P. Moller – Maersk; Rodolphe Saadé, CMA CGM Group; Rolf Habben Jansen, Hapag-Lloyd; Soren Toft, MSC Mediterranean Shipping Co.; and Lasse Kristofferen, Wallenius Wilhelmsen.