European Parliament to include maritime emissions in carbon market

8 July 2020 (Last Updated July 8th, 2020 12:19)

The European Parliament’s Environment Committee has agreed to include the maritime sector’s CO₂ emissions in its Emissions Trading System (ETS).

The European Parliament’s Environment Committee has agreed to include the maritime sector’s CO₂ emissions in its Emissions Trading System (ETS).

The move is expected to reduce carbon emissions in maritime transport.

The commission proposed to change the EU system for monitoring, reporting and verifying the CO₂ emissions from the maritime sector (EU MRV Regulation) and align it with the new specifications of the International Maritime Organisation (IMO).

It will help to monitor emissions from last year and report them this year.

The Environment, Public Health and Food Safety Committee is also looking to include ships that have a gross tonnage of over 5,000 in the ETS.

Members of the European Parliament (MEPs) said that the ‘market-based emissions reduction policies are not enough’.

They have added binding conditions for shipping companies to decrease the annual average CO₂ emissions for each transport work by a minimum of 40% by 2030.

The committee has proposed to establish an ‘Ocean Fund’ for the 2023-2030 period, which will be financed by revenues collected from auctioning allowances.

The fund is expected to make vessels more energy-efficient and support investment in technologies and infrastructure, including alternative fuel and green ports.

Of the total revenue of the fund, 20% will be used to protect, restore and improve the management of the marine ecosystems affected by global warming.

Currently, the maritime transport sector is the only industry, which does not have any specific EU commitments to decrease greenhouse gas emissions (GHGs).

Global shipping activity contributes to approximately 2% to 3% of the entire global GHG emissions.

Rapporteur Jutta Paulus said: “Today, we are sending a strong signal in line with the European Green Deal and the climate emergency. Monitoring and reporting CO₂ emissions is important, but statistics alone do not save a single gram of greenhouse gas.

“That is why we are going further than the commission proposal and demanding tougher measures to reduce emissions from maritime shipping.”