We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • CSCMP EDGE 2023
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • CSCMP EDGE 2023
    • Upload Your Video
Home » UN plan would raise $5 billion from containership companies to stop emissions

UN plan would raise $5 billion from containership companies to stop emissions

New technology is needed to launch zero-carbon emission cargo ships within a decade, sponsor countries say.

March 15, 2021
Ben Ames
No Comments

A coalition of countries is pitching a plan to the United Nations’ International Maritime Organization (IMO) to require global shipping companies to raise funds for a “moon-shot” effort to deploy widescale fleets of zero-carbon emission cargo ships within a decade.

Announced March 10, the effort would raise $5 billion through “mandatory contributions” by containership companies in a push to decarbonize the maritime transport sector. The plan’s backers say that clean emission technology does not yet exist for large ocean-going ships, so any decarbonization effort can only take place with a significant acceleration of research and development.

As with previous emissions reduction efforts, the investment would likely boost delivery rates for shippers in the short term, as carriers pass on the increased cost. But supporters argue that the investment is necessary to mitigate the longer-term impacts of climate change, such as rising sea levels and volatile storms poised to swamp the world’s cargo ports.

The new approach would enable global maritime cargo carriers to reduce greenhouse gases enough to meet the IMO’s 2050 50% reduction and zero-carbon emissions goals. 

It would also follow the current IMO 2020 policy, which limits sulfur emissions from oceangoing ships by requiring vessels to burn fuel with a sulfur content of 0.5% or less, down from the current 3.5%, or else to use exhaust-cleaning “scrubbers" or convert to liquefied natural gas.

The IMO 2020 plan is forecast to reduce acid rain and to avoid more than half a million annual premature deaths worldwide from conditions like strokes, asthma, cancer, and cardiovascular diseases. But industry giants like A.P. Møller-Maersk (Maersk) and Mediterranean Shipping Co. (MSC) have said they will need to pass on the costs of compliance to their customers. The impact could also reduce the growth rate of world container port volumes over a five-year period, according to a report from Drewry Shipping Consultants.

Despite those costs, the effort is necessary to slow the momentum of accelerating global climate change, according to the World Shipping Council, one of the backers of the new plan. “The sponsoring nations have done a very thorough job, mapping out in detail the framework required to get the R&D program up and running as quickly as possible. We are very pleased to see Denmark’s support, as one of the leading maritime nations. The IMRB is a crucial step on the path to decarbonize shipping, and we have no time to lose if we are to meet the UN climate goals,” WSC CEO John Butler said in a release.

The proposal was first submitted by a collection of shipping nations including Georgia, Greece, Japan, Liberia, Malta, Nigeria, Singapore, and Switzerland. It has since added Denmark and Palau. It is also co-sponsored by a collection of global shipowners’ associations: BIMCO, Cruise Lines International Association, IMCA, INTERCARGO, INTERFERRY, International Chamber of Shipping, INTERTANKO, IPTA, and the WSC.

Under terms of the plan, the money would go into an “IMO Maritime Research Fund” to support an International Maritime Research and Development Board (IMRB) to commission collaborative programs for research and development into zero-carbon technologies specifically tailored for maritime applications, including the development of working prototypes. It will also assist carbon dioxide-reduction projects in developing countries, including Pacific island nations which are at high risk of flooding damage from rising sea levels due to their low-lying terrain.

The next step for the plan will be to seek additional sponsors at the next meeting of the IMO Marine Environment Protection Committee in June, and then to lobby for full approval at an IMO meeting in London in November, which will coincide with the next UN Climate Conference (COP 26) in Glasgow.

"We are very pleased to see Denmark’s support, as one of the leading maritime nations. The IMRB is a crucial step on the path to decarbonise shipping, and we have no time to lose if we are to meet the UN climate goals,” says John Butler, CEO of WSC.
Read: https://t.co/DXXnFFZRSc pic.twitter.com/gxMxi0kXhT

— World Shipping Council (@WSC_shipping) March 15, 2021
Maritime & Ocean Green (Carbon Mapping, etc.)
KEYWORDS International Maritime Organization World Shipping Council
    • Related Articles

      Coalition proposes plan to raise fuel taxes for infrastructure improvements

      L.A., Long Beach OK plan to achieve zero emissions on landside movements

      International air cargo industry joins others in hailing EU's plan to delay aircraft emissions plan

    Benames
    Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.

    Recent Articles by Ben Ames

    Universal Robots unveils smaller, stronger cobot arm

    Intermodal groups applaud White House pick for new Multimodal Freight Office

    Amazon’s parcel delivery growth puts pressure on retailers, Veho says

    You must login or register in order to post a comment.

    Report Abusive Comment

    Most Popular Articles

    • Warehouse renters could see “significant” rate increases in 2024, Prologis says

    • MercuryGate acquires cross-border customs clearance specialist ITS

    • A new outlook that’s a lot like the old outlook

    • DHL Supply Chain to add five more AS/RS installations from AutoStore

    • Yes, your SMB can afford AMRs

    Now Playing on DCV-TV

    A2dc9fd0 dba7 497d 8bf9 ea8d18ec63fa

    Getting Gamers and Geeks Their Ecom Even Faster: Newegg and Geekplus

    DCV-TV 4: Viewer Contributed
    Geekplus has partnered with electronics giant Newegg to get consumers their PC accessories, gaming gear and lifestyle technology orders faster than ever before. In Newegg's newly automated 245,000 sqft warehouse in Ontario, California, Geekplus robots manage more than 20,000 SKUs. The warehouse ships thousands of...

    FEATURED WHITE PAPERS

    • Exploring Forklift Energy Solutions for Maximum ROI

    • Identifying How Sortation Automation Can Address Challenges for Parcel Processors

    • Unlocking efficiency and growth

    • Quarterly Freight Data Report: Q3 2023

    View More

    Subscribe to DC Velocity Magazine

    GET YOUR FREE SUBSCRIPTION
    • SUBSCRIBE
    • NEWSLETTERS
    • ADVERTISING
    • CUSTOMER CARE
    • CONTACT
    • ABOUT
    • STAFF
    • PRIVACY POLICY

    Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing