A new publication from the Maritime Emissions Reduction Centre (MERC) emphasizes that efficiency measures are essential for the existing fleet to comply with the IMO’s Mid-Term GHG reduction targets.
According to the publication, “IMO Mid-Term GHG Reduction Measures as a Driver for Efficiency,” the IMO 2023 GHG Strategy has set ambitious checkpoints for decarbonizing shipping, and alternative, low-GHG fuels will be an important driver in the long-term decarbonization of the industry.
However, most of these new fuels are not suitable for existing vessels, and shipping will be in competition with other sectors, particularly aviation and road transportation, for suitable drop-in fuels, such as biofuels, that can be used by the existing fleet.
While alternative fuels will play a vital role in shipping’s decarbonisation journey, efficiency improvements will be critical for the existing fleet. Most new low-carbon fuels aren’t suitable for existing vessels, and the maritime sector will compete with aviation and road transport for limited supplies of drop-in alternatives.
… said Stelios Korkodilos, Director of the MERC
Furthermore, demand for available drop-in fuels is expected to outpace supply, making improved efficiency a critical tool for the existing fleet to reduce GHG emissions. The mid-term measures, by imposing both direct and indirect costs on GHG emissions, will impact investment and operational decisions, acting as a lever for the uptake of solutions that can increase the efficiency of both individual vessels and the whole industry, especially in the period to 2030.
However, technical, financial, commercial, and societal barriers hinder the adoption of the required solutions and practices to decarbonize the existing fleet, MERC concludes.
