Reducing shipping's carbon footprint is likely to be costly. Image Credit: File Image / Pixabay
Meeting the International Maritime Organization's target of cutting the shipping industry's greenhouse gas emissions in half by 2050 could cost $1.1 trillion, according to a new study.
The figure represents the cumulative investments in shipping decarbonisation needed between 2030 and 2050, as estimated by research body UMAS and the Energy Transitions Commission.
"Much of shipping's decarbonisation will take place on land," Adair Turner, chair of the Energy Transitions Commission, said in a statement.
"It is a systemic transformation that goes beyond the capabilities of the maritime industry alone.
"We need to bring together the full range of upstream and downstream fuels value chains to unlock shipping's shift to zero carbon energy sources."
About 87% of the cost is taken up by the cost of land-based infrastructure and production facilities for low-carbon fuels, according to the study, with the rest represented by the cost of modifications to ships.