EU environment ministers have reached an agreement in support of the revision of the ETS Directive for the period after 2020. This agreement comes after almost two years of discussions in the Council, led since the start of this year by the Maltese presidency.
Emissions Trading System
Mr. Julien Dufour, CEO, Verifavia Shipping, comments current developments regarding the inclusion of shipping in ETS and stresses that regardless the offsetting scheme is finally run by either IMO or an ETS, it is important for the industry not to deviate from the initial object; the reduction of the GHG emissions from shipping. Mr Dufour shares his long experience from the aviation industry to describe what an EU ETS for shipping would mean, noting that it will be definitely a ‘complex process’.
A majority of MEPs voted to include shipping in the scheme as of 2023, if there is no comparable system operating in the IMO in 2021. However, ECSA says that this decision will unduly complicate the achievement of an effective and timely global agreement in IMO that everyone in the end wants.
The EU voted in favour of the inclusion of CO2 emissions from shipping in the EU ETS and the establishment of a maritime climate fund “in the absence of progress at international level” as from 2023. ESPO strongly believes that IMO is by far the right place to introduce CO2 target and measures to reduce emissions from shipping in line with the Paris Agreement.
The ICS saIs that it is ‘disappointed but not surprised’ by the vote in the European Parliament to propose that international shipping (including non-EU flag ships) should be incorporated into the EU Emissions Trading System from 2023.
MEPs have backed reforms of the EU emissions trading system that will, for the first time anywhere, regulate international ship CO2 emissions as well as significantly tighten the cap on aviation emissions. Transport & Environment welcomed the reforms as both a much needed first move to kickstart maritime climate action.
Just before a crucial vote by MEPs, associations of shippers and cargo owners have called on the European Parliament, Council and Commission to include shipping emissions in the EU emissions trading system under a special fund.
Guido Harling, Executive Director and Founder ETSverification GmbH, says the reporting of shipping emissions under MRV Regulation is a ‘daunting task’ and advises how companies shall get prepared for the monitoring plan up to the Aug 31st deadline
The Clean Shipping Coalition has sent a letter to Mr. Kitack Lim, Secretary General of IMO, criticizing his recent views on including shipping industry in the EU Emission Trading System. Mr. Lim has expressed concerns that this action could undermine efforts to reduce greenhouse as emissions from shipping on a global basis whereas the NGO supports that IMO should not interfere in European politics.
INTERCARGO expressed its full support and total alignment with IMO Secretary-General Kitack Lim’s concerns that including shipping in the European Union’s Emission Trading System (EU-ETS) could undermine efforts to reduce GHG emissions from ships on a global basis.
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