Interferry demands an immediate halt to the EU ETS for shipping, citing unfair competition with road transport and lack of funding for decarbonization.
The global trade association for the ferry industry, Interferry, has called for an immediate halt to the phased implementation of the European Union Emissions Trading System (ETS) for the maritime sector. The association argues that the exclusion of road transport from the system has created serious inequalities and placed ferry operators at a competitive disadvantage.
Interferry also claims that due to the lack of a clear financing plan to support investments in e-fuels and ship electrification, the revenues collected under the ETS are being transferred to the national budgets of member states instead of being allocated to the sector.
Exemption for Road Transport Draws Reaction
The trade association made this call following the European Union Council's decision to exempt road transport from a parallel emissions trading mechanism. According to the current regulation, the maritime emission obligations under the ETS will increase from 70% to 100% in 2026.
Johan Roos, Interferry's Director of Regulatory Affairs, stated that the exclusion of road transport from the system has created 'an immediate and serious competitive disadvantage' for RoRo and passenger ferries.
Roos said, 'As it stands, the ETS is increasing ferry costs, leading freight and passengers to revert back to the already congested road networks. This situation runs counter to the European Union's long-standing policy of shifting transport from road to sea.'
Ferries Play a Critical Role in European Transport
Interferry emphasized that ferry services are vital for the European transport system. It was noted that more than half of the total RoRo and passenger vessel tonnage in the world operates in European waters, with ferries transporting 400 million passengers and 200 million vehicles and freight units within the European Union each year.
The association stated that these transports significantly relieve the road network and offer a more environmentally balanced transport model.
Funds Should Go Towards Decarbonization
Interferry indicated that the sector supports the decarbonization of maritime transport and accepted the ETS with the expectation that the collected funds would genuinely be used for this purpose and that road transport would also be included in the system.
According to the association, every 1 euro increase in ferry freight rates raises the risk of freight shifting back to Europe’s already congested road networks.
CEO Corrigan: Equal Conditions Must Be Provided
Interferry CEO Mike Corrigan stated that the implementation of the ETS should be suspended until road transport is included in the system and the collected revenues are clearly allocated for the decarbonization of the maritime sector.
Corrigan said, 'The European Union must fulfill its promise of providing equal conditions. Climate policy should support, rather than financially weaken, the most forward-looking transport sector.'
Expectation of a Global GHG Mechanism
Interferry also cited the International Maritime Organization's example of postponing the acceptance of a global greenhouse gas pricing mechanism by at least 12 months until October 2025. According to the association, this global framework is expected to replace the European Union Emissions Trading System and establish clear rules regarding the use of collected funds.
The report stated that the ferry sector is currently taxed at approximately 1 billion euros annually, but there is no clear regulation on how this revenue will be reinvested in efforts to reduce greenhouse gas emissions.
Interferry argued that the current approach neither promotes competition nor compliance; rather, it undermines the sector's capacity to invest in cleaner technologies.
Source: SeaNews Türkiye
