Such is the scale of industry disruption from decarbonization that a decarbonization strategy likely is now the best business strategy for shipowners, according to ABS.
That was the message for the industry from Christopher J. Wiernicki, ABS Chairman, President, and CEO in a keynote speech to open North American Shipping Week.
Already today, it’s not enough to have a decarbonization strategy for your business. No, decarbonization is increasingly likely to be your best business strategy. This challenge requires us all to embrace the new language of shipping – which is CO2 emissions per ton mile
Mr. Wiernicki also added that fecarbonization of the industry represents a strategic opportunity for the entire shipping, “a structural realignment of historic proportions where the entire ecosystem and value chain is being shaken up.”
Over the next three decades, the International Energy Agency estimates there will be well over $100 trillion total in clean energy investment. Against that backdrop, it is clear that a failure to adapt and grasp the nettle of decarbonization is the surest guarantee of obsolescence
ABS’s CEO also called for governments to play their role in supporting the industry to meet its decarbonization objectives. He npted that reaching the decarbonization target for 2050 is currently a challenge where we can only see the outline of a solution.
While 2030 may be within operational reach, 2050 will require a solution played out across the entire value chain. And this is where we need governments to step in with policies to accelerate development of low-carbon solutions
Furthermore, just securing the required quantities of zero-carbon fuels to power the industry’s transition will require scaling up the global renewable energy sources by a factor of 10, said Mr. Wiernicki, concluding that “incentivizing early movers and creating the framework for carbon neutral fuels will require focused policy making.”
