IAPH welcomes the agreement reached last Friday at the United Nations’ International Maritime Organization (IMO) on the package of new greenhouse gas (GHG) emissions reduction regulations known as the “IMO net-zero framework”.
The agreement on the economic measure, which has been put forward by MEPC83 for formal adoption later this year for implementation by 2028, is a compromise which serves as a global framework that will ultimately encourage the adoption of low and zero carbon fuels for an industry which currently delivers approximately 90% of global trade while emitting approximately 3% of global emissions.
In addition to allocating revenues to researching, developing and making globally available and deploying zero and near-zero GHG emission technologies, fuels and/or energy sources, the agreement stipulates for the IMO Net-Zero Fund created by the economic measure to disburse collected revenues to develop the necessary maritime, coastal and port-related infrastructure and equipment.
This concurs with the original submission made by IAPH containing this proposal, as well as a study IAPH submitted to MEPC 82 last year on infrastructure investment requirements, citing specific needs in developing countries.
IAPH will be contributing in the work ahead in further detailing the IMO net-zero framework after its formal adoption in October, in the form of guidelines to be developed by the organisation.
IAPH plans to press ahead with actions of the ports resolution previously adopted by the IMO encouraging voluntary cooperation between the port and shipping sectors to contribute to reducing GHG emissions from ships.
This includes plans by IAPH to extend its own IMO-recognised Environmental Ship Index to further incentivise shipowners to reduce GHG emissions. It will do so by aligning the Index with the new regulations to reward beyond-compliance performance and innovation with reduced port fees and other benefits from participating port authorities and administrations. In addition, IAPH will also continue developing tools preparing ports through its Clean Marine Fuels and Port Readiness Level Working Groups.
IAPH is also actively working with governments and the private sector on CEM-HUBS, which is a cross-sectoral initiative led by the International Chamber of Shipping (ICS) that breaks silos and brings together the energy and maritime sectors to de-risk opportunities to produce, transport and use low-carbon fuels at scale for shipping to transport and use.
Managing Director Patrick Verhoeven commented: “Ports require regulatory certainty on a global level. They also require a global standard to prepare themselves for receiving vessels under propulsion from new zero and near-zero carbon fuels. They further need to ensure port and terminal readiness for safe bunkering operations, as well as preparing masterplans for putting infrastructure in place for loading and unloading operations of these fuels as a cargo. This requires risk management, and substantial, multi-billion dollar final investment decisions, not least in developing countries. It will also require the upskilling of port personnel and significant lead times for implementation to meet shipping needs. IAPH will continue to support the sterling efforts of the IMO, which is uniquely placed to ensure a level playing field globally to achieve a just and equitable energy transition in the maritime sector for all countries.”
About IAPH
Founded in 1955, the International Association of Ports and Harbors (IAPH) has developed into a global alliance of 191 port authorities as well as 165 port-related businesses. Comprised of over 80 different nationalities across the world’s continents, member ports handle over one third of the world’s sea-borne trade and well over 60% of the world container traffic. IAPH leads global port industry initiatives on decarbonisation and energy transition, risk and resilience management, and accelerating digitalisation in the maritime transport chain. The IAPH’s World Ports Sustainability Program has grown into the reference database of best practices of ports applying the UN Sustainable Development Goals and integrating them into their businesses - iaphworldports.org.