THE European Commission has decided to impose its market-based carbon tax on shipping, beyond its territorial waters, forcing vessels to pay for their emissions, reports Reuters.
The shipping sector has so far escaped the eu tax, which requires factories and power plants to buy permits when they emit carbon dioxide, providing a financial incentive to pollute less.
That is set to change from 2024, when shipping companies must buy EU carbon permits to cover 40 per cent of their emissions, rising to 70 per cent in 2025 and 100 per cent in 2026.
The EU meaure would add to the carbon market all carbon dioxide, methane and nitrogen dioxide emissions from maritime voyages within the EU.
It would also tax 50 per cent of emissions from voyages to and from EU, collecting revenue from beyond its territorial waters.
Bureaucrats also agreed to dedicate revenues from tax to fund maritime emissions-cutting projects.
The measure is part of a bigger revamp of the EU carbon market - one of a raft of policies the EU is upgrading to deliver its target of reducing net greenhouse gas emissions 55 per cent by 2030, from 1990 levels.
SeaNews Turkey
The shipping sector has so far escaped the eu tax, which requires factories and power plants to buy permits when they emit carbon dioxide, providing a financial incentive to pollute less.
That is set to change from 2024, when shipping companies must buy EU carbon permits to cover 40 per cent of their emissions, rising to 70 per cent in 2025 and 100 per cent in 2026.
The EU meaure would add to the carbon market all carbon dioxide, methane and nitrogen dioxide emissions from maritime voyages within the EU.
It would also tax 50 per cent of emissions from voyages to and from EU, collecting revenue from beyond its territorial waters.
Bureaucrats also agreed to dedicate revenues from tax to fund maritime emissions-cutting projects.
The measure is part of a bigger revamp of the EU carbon market - one of a raft of policies the EU is upgrading to deliver its target of reducing net greenhouse gas emissions 55 per cent by 2030, from 1990 levels.
SeaNews Turkey