The Race to Decarbonize International Shipping
The Race to Decarbonize International Shipping
To meet their carbon emission reduction targets in international transport, some maritime carriers and shippers are moving swiftly. The International Maritime Organization (IMO) has adopted a plan to reduce greenhouse gas (GHG) emissions from ships to net zero by 2050. This strategy involves the use of alternative marine fuels, with a target for 5–10 percent of the energy used by international shipping to come from these fuels by 2030. However, current usage rates fall far short of those targets.
New regulations that the IMO will soon introduce will push the sector toward these goals. A.P. Møller-Maersk has accelerated its net zero emissions target from 2050 to 2040 and has invested in 25 ships operating on green methanol. Maersk and other carriers are calling for the cost of transitioning to green fuels to be shared with shippers. Companies like DB Schenker and IKEA are also making significant investments in sustainable operations.
IKEA has set a target to reduce GHG emissions by 70 percent by 2030, while CMA CGM plans to offer alternative fuels such as biogas and biomethanol. However, reaching these goals will require greater support across the sector and among customers.
Key Points
The International Maritime Organization's plan to reduce GHG emissions from ships to net zero by 2050.
Target for 5–10 percent of international shipping energy to come from alternative fuels by 2030.
A.P. Møller-Maersk's acceleration of its net zero emissions target from 2050 to 2040.
The high cost of transitioning to green fuels and the need for this cost to be shared between carriers and shippers.
IKEA's target to reduce GHG emissions by 70 percent by 2030.
CMA CGM's plan to offer biogas and biomethanol.