Decarbonizing shipping: the time to act is now
Decarbonization is the single defining issue of our time. The maritime sector has made its first steps towards a low-carbon future, emerging as a leader among harder-to-abate sectors. However, transformative action is needed to meet the urgency of the climate crisis.
To meet climate targets and to decarbonize the shipping sector, vessels using zero emission fuels must be the dominant and competitive choice by 2030. Full value chain pilots and demonstration projects are needed to demonstrate the viability of zero emission solutions. While first movers face additional costs and risks, they can become zero emission front runners and gain the business and investment opportunities that follow.
To make shipping’s decarbonization investable and zero emission solutions scalable, a supporting policy framework is needed, either in the form of a global market-based measure to guarantee a level playing field, or regional or domestic policy to kickstart the transition.The maritime sector also needs to ensure that its transition to zero emission fuels is equitable. This is why policy measures must include investments and technology transfers to developing countries.
For countries with large renewable energy potential, shipping’s decarbonization represents an opportunity to become exporters of the zero emission fuels of the future, which will contribute towards job creation, public health and the decarbonization of other sectors. The Global Maritime Forum’s Annual Summit will bring together leaders to tackle these and other critical challenges, and to develop plans for action.
- How can the maritime industry engage with policy makers on the urgent need for policy measures to make the transition to zero emission fuels possible?
- What are the building blocks needed to create impactful pilots and demonstration projects?
- How can the maritime sector navigate the uncertainty inherent in the transition?
How we ensure that the transition to zero emission shipping is equitable?
“Zero-emissions ships must become the competitive choice by 2030, and we need credible market-based measures to get there.”
António Guterres, Secretary-General, United Nations
“No individual organization can decarbonize international shipping. We need to come together to share experiences, work on solutions through value chain collaboration and scale up.”
Quah Ley Hoon, Chief Executive, Maritime and Port Authority of Singapore
“We are beyond the chicken and egg situation between the supply and demand for zero emission fuels. We have ordered our first ship that will run on a green fuel and every ship we order from now on will be capable of running on a green fuel.”
Søren Skou, CEO, A.P. Møller-Mærsk
“Business opportunities will arise from shipping’s decarbonization all along the value chain. From developing renewable energies, producing zero emission fuels, to transporting new fuels, and building new ships and retrofits. What is needed to dive into these opportunities fully is an ambitious and stable regulatory framework.“
Lois Zabrocky, President & CEO, International Seaways