EMEA News
Shipping Body Backs 5% Allocation for Alt Fuels
The entry of alternative fuels into the bunkering mainstream could be hastened by a proposal from shipowning body ICS.
The International Chamber of Shipping has said that an international fund could be formed from a levy on shipping's carbon dioxide emissions.
Such a fund would support the development of low and zero-emission marine fuels by bridging the gap for ship operators between purchasing mainstream fuels and their pricier alternatives.
The ICS proposal will go the IMO's MEPC at its December meeting, according to maritime news provider Tradewinds.
In the proposal is a figure of 5%. This, the chamber has said, should represent the proportion of alternative fuels to be consumed by the shipping sector.
Under the European Union directive on marine fuels (applying to the EU area) voted on by members of the European parliament last week, MEPs supported a 2% portion reserved for alternative marine fuels.
Ahead of that vote, environmentalists had lobbied for a 5/6% figure.
The advance of alternative and zero-emission bunker fuels is hindered by their high cost of production compared to more established forms of fuel.
Subsidising the price differential between alternative and established fuels would create a more equitable competitive landscape and speed up their entry into the mainstream.
