EU to get tough on GHG emissions from shipping?

 

In October 2014, the EU set domestic GHGs reduction target of at least 40% below 1990 levels by 2030. Shipping is currently outside those targets with climate change regulation for international shipping being parked in the slow lane in the International Maritime Organization. That may be about to change over the next two years.

 

  1. COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE EUROPEAN COUNCIL, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS The European Green Deal Brussels, 11.12.2019 COM(2019) 640 final

 

The Commission indicated that it would be looking at measures extending the emissions trading system (ETS) to shipping and would look closely at the current tax exemptions including for aviation and maritime fuels and at how best to close any loopholes will take action in relation to maritime transport, including to regulate access of the most polluting ships to EU ports and to oblige docked ships to use shore-side electricity.

 

  1. On 4 March 2020 the Commission proposed a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing the framework for achieving climate neutrality and amending Regulation (EU) 2018/1999 (European Climate Law) under which, by September 2020, the Commission would review the Union’s 2030 target for climate referred to in Article 2(11) of Regulation (EU) 2018/1999 in light of the climate-neutrality objective set out in Article 2(1), and explore options for a new 2030 target of 50 to 55% emission reductions compared to 1990.

 

  1. On 24 January 2020 Green MEP, Jutta Paulus, as Rapporteur for the European Parliament’s Committee on the Environment, Public Health and Food Safety produced a draft report (COM(2019)0038 – C8-0034/2019 -2019/0017(COD)) on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) 2015/757 in order to take appropriate account of the global data collection system for ship fuel oil consumption data. The report recommends the following amendments to the 2015 MRV Regulation ((Regulation (EU) 2015/757 on the monitoring, reporting and verification of carbon dioxide emissions from maritime transport, and amending Directive 2009/16/EC)):

– the inclusion of maritime transport in the ETS;

– the establishment of a maritime transport decarbonisation fund to foster research and development in the energy efficiency of ships and support investments in innovative technologies and infrastructure to decarbonise maritime transport, including short sea shipping and ports, and the deployment of sustainable fuels. The fund would be established for the period from 2021 to 2030 and would be financed from revenues of the ETS;

– Establishing a target of reduction of CO2 emissions per transport work by at least 40 % by 2030 over the first reporting year of the MRV, 2018;

– The extension of the scope of the amended regulation to all GHG emissions, especially methane, from ships of 5000 grt or above. The amended regulation would cover GHG emissions released during voyages of such ships from their last port of call to a port of call under the jurisdiction of a Member State and from a port of call under the jurisdiction of a Member State to their next port of call, as well as within ports of call under the jurisdiction of a Member State;

– The Commission to set targets for member states for deployment of shore side electricity.

 

These proposed changes to EU law may make last year’s anxiety over the IMO’s Sulphur Cap come to seem like very small beer indeed.

Published by

Professor Simon Baughen

Professor Simon Baughen was appointed as Professor of Shipping Law in September 2013 (previously Reader at the University of Bristol Law School). Simon Baughen studied law at Oxford and practised in maritime law for several years before joining academia. His research interests lie mainly in the field of shipping law, but also include the law of trusts and the environmental law implications of the activities of multinational corporations in the developing world. Simon's book on Shipping Law, has run to seven editions (soon to be eight) and is already well-known to academics and students alike as by far the most learned and approachable work on the subject. Furthermore, he is now the author of the very well-established practitioner's work Summerskill on Laytime. He has an extensive list of publications to his name, including International Trade and the Protection of the Environment, and Human Rights and Corporate Wrongs - Closing the Governance Gap. He has also written and taught extensively on commercial law, trusts and environmental law. Simon is a member of the Institute of International Shipping and Trade Law, a University Research Centre within the School of Law, and he currently teaches at Swansea on the LLM in:Carriage of Goods by Sea, Land and Air; Charterparties Law and Practice; International Corporate Governance.

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