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SAFETY4SEA

IMO, Norway highlight opportunities for maritime decarbonization

by The Editorial Team
October 15, 2021
in Green Shipping
green shipping

Credit: Shutterstock

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IMO-UNEP-Norway Zero-and Low-Emission Innovation Forum highlighted challenges and opportunities for decarbonization, financing, building on innovation and best practices.

Collaboration and knowledge sharing around innovation are the most effective ways to propel the global maritime industry towards a decarbonized future, according to participants of the three-day IMO-UNEP-Norway Zero- and Low-Emission Innovation Forum.

The online event, held on 27-29 September and broadcast on UN TV, saw more than 1,000 participants from across the world exchange best practices, ideas and latest developments with a view to enabling more inclusive maritime innovation towards decarbonization.

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In his opening speech, IMO Secretary-General Kitack Lim said:

The energy transition of the maritime industry will require new technologies, low- and zero- carbon (renewable) alternative fuels and infrastructure to support low- and zero-carbon shipping. Innovation is core to its success. The IMO-UNEP-Norway Zero- and Low-Emission Innovation Forum is a recognition of this need

Furthermore, the IMO Chief of the Department of Partnerships and Projects, Dr. Jose Matheickal, added that IMO is keen to ensure that no Member State is left behind in the journey a low-carbon future.

Inclusin innovation 

An important focus for the forum was addressing the specific needs of developing countries, especially Least Developed Countries (LDCs) and Small Island Developing States (SIDS). An issue that was acknowledged by numerous speakers was a lag between decarbonization efforts – particularly in research and development – in developing countries and those in the developed countries.

One solution proposed was to raise awareness of innovation projects, financing opportunities and areas of mutual growth of LDCs and SIDS so that they were not left to re-invent the decarbonization wheel. This awareness must be on a regional and global scale, in order to take advantage of opportunities while avoiding fragmentation.

Forum discussions also called for coordination of key stakeholders across the value chain.

Finance was also a prominent topic during the forum, with emphasis given to the need to bring onboard the private sector, national banks and International Financial Institutions in a coordinated manner.

In fact, many speakers noted that this kind of coordination would require innovative financial solutions to underwrite some of the associated risks. This could be achieved through Government support and International Financial Institution interventions, such as blended public and private financing for technology demonstrations, technology diffusion and eventually wider uptake of innovative solutions.

Global transition

The need for funding streams to enable a global transition to low-carbon operations formed an important part of the discussions. Speakers highlighted the importance of varied sources of funding, going beyond those offered by banks, such as private investment, blended financing and more.

Although funding for decarbonization projects exists, some attendees warned that this is not prolific enough and may not be visible to LDC and SIDS stakeholders.

Speakers further recognized that maritime innovation is currently considered a niche sector for financial stakeholders, which may be the reason for a limited number of participants in this market. This issue can only be addressed by increasing the profile of maritime technological solutions and building trust, as well as mutual capacity building.

Looking forward

A number of practical strategies for the transition to a low- and zero-carbon future emerged during the active discussions. Recommendations included:

  • Joining and connecting the pilot projects and research and development initiatives (in developed and developing regions) and sharing the lessons learned and outcomes;
  • Sharing information and linking maritime decarbonization initiatives projects using the IMO-Singapore NextGEN portal;
  • Linking R&D Centres in developed countries closer to the regional centres, as well as existing maritime decarbonization projects in the developed world;
  • Fast-tracking port-linked innovations, as many ports are under national frameworks which may support some immediate buy-ins and investment;
  • Ensuring capacity building of maritime authorities, ports, especially in developing countries, on funding opportunities, potentially available grants and finance options, as well as bankable projects development needs;
  • Educating policy makers, training project leaders with regard to bankable proposal creation, identifying innovation funding in research institutes and engaging with seafarers as technology users;
  • Proposing/developing more IMO pilot projects to include technology demonstrations, including more pilot projects in IMO-implemented GHG-related projects, as well as technology demonstrations;
  • Arranging further innovation forums to offer a global platform for regular dialogue and exchange of innovation experiences to support the objectives of the Initial IMO GHG strategy.
IMO, Norway highlight opportunities for maritime decarbonizationIMO, Norway highlight opportunities for maritime decarbonization
IMO, Norway highlight opportunities for maritime decarbonizationIMO, Norway highlight opportunities for maritime decarbonization
Tags: decarbonizationIMONorway
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