The Road to Decarbonisation: What’s at Stake at the IMO Meetings

Two groundbreaking reports led by UCL Energy Institute and Oceans Research Group shed light on the critical decisions to be made at the upcoming International Maritime Organization (IMO) meetings. The discussions leading up to the Marine Environment Protection Committee meeting in April are crucial as the IMO aims to set policies, known as mid-term measures, to achieve strategic objectives such as decarbonising international shipping by 2050 and ensuring a just transition for all states.

Key Negotiations at ISWG-GHG 18

The eighteenth Intersessional Working Group on GHG (ISWG-GHG 18) serves as a pivotal negotiating session before MEPC 83. At MEPC 83, the IMO is expected to agree on a MARPOL amendment draft for a new Chapter 5, which will establish a legal framework for new policy measures. These measures include a technical component – a greenhouse gas (GHG) fuel standard to reduce shipping’s energy use emissions over time, and an economic component – a price on GHG emissions and the allocation of raised revenues.

Global Fuel Standard vs. Credit Trading Scheme

Analysis of submissions to the IMO reveals two main camps: one supporting a global fuel standard (GFS) combined with a levy, and another advocating for the GFS with a credit trading scheme but without a universal carbon price. The former has garnered strong support from 51 countries representing 70% of tonnage, a significant backing if a vote is required.

Albon Ishoda, Marshall Islands’ special envoy for maritime decarbonisation, emphasized the importance of a structured carbon pricing mechanism that prioritizes fairness, reflecting the increasing global consensus on the issue.

The Role of the US

One major uncertainty at MEPC will be the stance of the United States, particularly under the leadership of President Donald Trump, known for his skepticism towards environmental regulations. The impact of the US’s position on the negotiations remains to be seen.

Looking Ahead

Dr. Annika Frosch, research fellow at the UCL Energy Institute, emphasized the need for discussions at the upcoming negotiations to focus on revenue distribution both within and outside the shipping sector. The decisions made at MEPC will shape the future of international shipping and its contribution to decarbonisation efforts.

Stay tuned for updates from April’s MEPC gathering as Splash brings you the latest developments on this critical issue.