IAPH considers the postponement of the adoption of the IMO Net Zero Framework as a major setback for a global framework that the industry needs to secure investments in decarbonisation at sea and on land
IMO Member States gathering at a special session of the Marine Environment Protection Committee (MEPC) voted this afternoon to adjourn a decision on amendments to the MARPOL Convention that would enable the implementation of IMO’s landmark Net Zero Framework. The Framework includes a global fuel standard for shipping and an economic measure, which consists of a pricing mechanism and credit trading scheme to drive down emissions and fund the transition to zero and low carbon fuels..
The decision to adjourn effectively means that a decision on the Net Zero Framework is now stalled for a year. 57 countries voted in favour of the adjournment, 49 countries opposed it and 21 abstained.
Responding to the outcome of today’s MEPC meeting, IAPH managing director Patrick Verhoeven commented: “This is a major setback for the maritime industry. Shipping and ports need a global framework that provides them with legal certainty to make the necessary investments in decarbonisation. Only IMO can provide such a framework. We don’t know what this adjournment will lead to, but we fear it will simply open the door for more national and regional measures, which will add to an already complex regulatory patchwork resulting in unintended consequences.”
The IMO’s economic measure aims to close the gap in pricing between hydrocarbon and low and zero carbon fuels. Such a measure would also assist funding very necessary investments in research and development to accelerate the energy transition of shipping as well as supporting the vital port infrastructure investments to guarantee the supply of those new fuels, particularly in developing countries which will otherwise be marginalised.
“The adjournment of the IMO Net Zero Framework now spells uncertainty about the incentives that are needed for the uptake of new low and zero carbon fuels” concluded Patrick Verhoeven, “We continue to support a global economic measure as it will also provide vital funding for infrastructure investments in ports of developing countries, in order for them not to be left behind in the energy transition.”
