WORLD shipping needs a fixed carbon price to mitigate the uncertainties of its energy transition, said International Chamber of Shipping secretary-general Guy Platten, reported London's S&P Global Platts.
The industry has come to widely accept that carbon must have a cost, under the polluter pays principle, but opinions remain divided over exactly who that polluter is and how they should pay, he said.
There have been extensive discussions in the European Union on including shipping in its emissions trading scheme, although these hit a roadblock June 8 when the European Parliament rejected a series of proposed reforms to the ETS.
The ICS is against regionalised regimes and believes in direct funding for shipping's energy transition, something which the earlier EU ETS proposal would not have provided, instead directing proceeds to a general taxation fund.
'We believe in a global system; market-based measures are the best way of achieving those aims,' said Mr Platten on the sidelines of Posidonia 2022, a shipping industry event in Athens.
This must come from the UN's International Maritime Organisation and ensure proceeds go directly to research and development for investment in sustainable fuels for shipping, he said.
In Europe, shipping companies are set to be included in the EU ETS under proposals currently being discussed by lawmakers, although the June 8 surprise rejection could set the legislative process back months.
The legally binding scheme, which currently includes power generators, factories and airlines, requires companies to have their CO2 emissions independently verified by third party auditors and to surrender carbon allowances to match their annual emissions.
SeaNews Turkey
The industry has come to widely accept that carbon must have a cost, under the polluter pays principle, but opinions remain divided over exactly who that polluter is and how they should pay, he said.
There have been extensive discussions in the European Union on including shipping in its emissions trading scheme, although these hit a roadblock June 8 when the European Parliament rejected a series of proposed reforms to the ETS.
The ICS is against regionalised regimes and believes in direct funding for shipping's energy transition, something which the earlier EU ETS proposal would not have provided, instead directing proceeds to a general taxation fund.
'We believe in a global system; market-based measures are the best way of achieving those aims,' said Mr Platten on the sidelines of Posidonia 2022, a shipping industry event in Athens.
This must come from the UN's International Maritime Organisation and ensure proceeds go directly to research and development for investment in sustainable fuels for shipping, he said.
In Europe, shipping companies are set to be included in the EU ETS under proposals currently being discussed by lawmakers, although the June 8 surprise rejection could set the legislative process back months.
The legally binding scheme, which currently includes power generators, factories and airlines, requires companies to have their CO2 emissions independently verified by third party auditors and to surrender carbon allowances to match their annual emissions.
SeaNews Turkey