World’s First-Ever Global Carbon Emissions Tax in the Shipping Sector Inches Closer To Reality

The IMO held the latest round of talks to discuss how to regulate the emissions from the maritime sector, which accounts for three per cent of global carbon emissions.

The two-week-long discussion ended on Friday, with most nations favouring the introduction of the world’s first global carbon emissions levy.

34 nations supported a global greenhouse gas price, a major rise in support compared to the previous discussions held in 2023.

Campaigners played a major role in supporting this policy, and it seems the measure will be adopted by IMO in 2025.

The policy, supported by 175 nations, aims to cut emissions from the shipping industry by 30% by 2023, 70% by 2040, and net 0 by the middle of the century.

To achieve the above-mentioned results, IMO agreed to implement an emissions price from next year to close the gap between traditional fuels and cleaner, greener energy sources.

It will use the revenue produced to enable a smooth and equitable transition to greener and cleaner fuels and technology.

Sandra Chiri, shipping emissions international outreach manager at the Ocean Conservancy, said, “The UN is on the edge of adopting the world’s first-ever global emissions price, but the policy will only be as successful as countries make it.”

She added that it was sad that a few nations did not favour the proposal.

Belize and some Pacific Island States proposed a levy of $150 per ton of carbon at the talks, which campaigners called the most ambitious proposal.

Panos Spiliotis, EU transport manager for global shipping at the Environmental Defense Fund, said, “With growing support for a universal greenhouse gas price, country delegates must now develop the right policy details to incentivise shipping decarbonisation.”

The next set of talks at the IMO is expected in the fall.

References: IMO, CNBC

World’s First-Ever Global Carbon Emissions Tax in the Shipping Sector Inches Closer To Reality appeared first on Marine Insight – The Maritime Industry Guide

Source: Maritime Shipping News