World News
US-Led Bloc Wants EU to Drop Its Own Shipping Rules for Weaker IMO Deal: T&E
A US-led coalition, including the UAE, Saudi Arabia and other oil-producing countries, is pressuring the EU to abandon its shipping decarbonisation measures to secure support for a weaker IMO's Net-Zero Framework.
Giving in to US pressure would reverse years of European progress and hand control of the region's clean energy transition to foreign oil interests, Brussels-based environmental group Transport & Environment (T&E) said on Thursday.
"The US-led climate denialist grouping is now pushing for the EU to drop its own carbon pricing for shipping (ETS) and green fuels mandates as part of its FuelEU Maritime law," it said.
T&E argues that while the IMO framework represents a global step toward shipping decarbonisation, it remains weaker than the EU's existing measures under its ETS and FuelEU Maritime regulations.
A final vote on the framework is expected today. The draft package, first agreed in April, would enter into effect from 2028 if adopted.
Adoption requires a two-thirds majority of contracting parties to MARPOL Annex VI to vote in favour.
Last week, the European Commission reiterated its support for the framework's adoption.
It said it would consider reviewing its existing shipping measures once the IMO framework is formally adopted.
But as Dr Richard Burchill of UNUCRIS and R. Tim Eestermans of MacroScope Strategies have pointed out to Ship & Bunker this week, a review of the EU-ETS and FuelEU Maritime regulations would not be a rapid process, and may require evidence from some time of the IMO framework being in effect before these rules can be revised.
"This is a shameless attempt to undermine Europe's sovereignty," William Todts, executive director of T&E, said.
"EU negotiators must not cave into efforts to torch vital climate measures that have been all the way through Europe's elected Parliament."
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 440.00 | 3.00 | 657.00 | 0.50 |
| Rotterdam | 423.50 | 0.50 | 636.50 | 3.00 |
| Houston | 436.00 | 5.00 | 630.50 | 1.00 |
| Fujairah | 436.50 | 0.50 | 719.50 | 1.00 |
| Global 20 Ports Average | 482.50 | 0.50 | 733.00 | 0.00 |
| Global 4 Ports Average | 434.00 | 0.00 | 661.00 | 0.50 |
| Global Average Bunker Price | 528.50 | 0.50 | 773.50 | 0.50 |
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