As global leaders convene this week in London to discuss tools to deliver a decarbonisation strategy for global shipping, vulnerable countries and marine NGO Seas At Risk are pushing for the introduction of a strong carbon levy on heavily polluting vessels. 

The measures being negotiated by the United Nations-affiliated International Maritime Organization (IMO) need to deliver the aims of a strategy adopted in 2023 for a 30% reduction in greenhouse gas emissions by 2030, 80% by 2040 and full decarbonisation before 2050. Seas At Risk is asking for:   

  • Improved energy efficiency by adopting wind power technology and reducing engine power to reduce fuel consumption. 
  • A shift towards cleaner fuels. 
  • The introduction of a strong carbon levy to support a low-cost transition.   

All three elements are critical if the aims of IMO’s greenhouse gas strategy are to be achieved, including a strong carbon levy of between $150 to $300 per ton of released greenhouse gas emissions which would be a smart long-term solution because the money raised could be used to help deal with the effects of climate change and shift to cleaner energy. It would also play a crucial role in preventing expensive technology lock-in and avoiding industry becoming reliant on outdated or less-efficient fuels. It could, for example, save the industry from investing in unnecessary and expensive technology such as carbon capture systems. While these systems seem appealing to the shipping industry, as they allow them to continue using polluting fuels, a strong carbon levy could incentivise cleaner options such as zero-emission fuels and installing sails.  

The IMO must act now to ensure a clean and fair transition that leaves no one behind 

Fears of higher transportation costs as a consequence of decarbonising the shipping industry are especially high in small island developing states and least developed countries. The revenue gained from the levy is intended to be distributed to these countries with the hopes of reducing inequalities and making sure that no country is left behind in this transition. This is vital for climate-vulnerable countries, many of which are entirely dependent on the importation of goods and food for survival.  

Calling for a high levy means more revenue to be dispersed among these countries and allows for a faster uptake of energy-efficient vessels. By addressing energy efficiency first, savings can be made: actions such as regular underwater cleaning of the ships’ hulls or taking the ship out of the water for a more thorough clean can help the industry save anywhere between 6-18% on fuel costs per voyage. Installing sails on the vessel during this downtime could further enhance its overall efficiency by up to 30%.

Peter Nuttall, the Scientific Technical Advisor for Micronesian Center for Sustainable Transport (MCST) said: 

“MCST is proud to be the Pacific hub for the International Windship Association (ISWA), championing wind energy as a vital tool for decarbonising our maritime industry. For small island developing states like ours, wind propulsion offers a practical and immediate way to reduce emissions, and the introduction of a high levy on polluting fuels will accelerate this transition. This levy will not only drive investment into cleaner technologies but also ensure that the Pacific and other vulnerable regions are empowered to modernise their fleets and build resilience against the growing threats of climate change. The future of shipping must be both sustainable and equitable, and wind energy is central to that vision.” 

Anaïs Rios, Shipping Policy Officer at Seas At Risk, said: 

“Wind technology is available now and can be fitted on most vessels. Hybrid ships that use both fuels and wind, through appropriate scheduling, route choices and weather forecasting, can take advantage of the strong winds that are prevalent on the high seas around the globe. We urge the IMO to adopt a high levy, allowing vulnerable countries to take advantage of the revenues to decarbonise their shipping industry and reduce the effects of climate change. Wise choices need to be made to reach the IMO’s goals and deliver its decarbonisation strategy, and we must focus on technologies that are clean, readily available, and that make practical sense.”  

 Note to editor 

The IMO must agree on a strong revision of the carbon index indicator (CII), a global fuel standard that allows for the uptake of wind, and an ambitious levy to ensure the shipping industry reaches the targets set by the decarbonisation strategy.  

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Posted on: 23 September 2024