Joint Industry GHG Reduction Policy Statement

The maritime industry, represented by the signatory industry organizations, is united in its pursuit of net-zero GHG emissions by 2050 consistent with the International Maritime Organization’s 2023 Strategy. Significant work remains and IMO Member States must build on the historic momentum that delivered the 2023 Strategy to develop, adopt, and implement appropriate mid-term GHG reduction measures.

Acknowledging the complexities and impacts tied to an accelerated energy transition, and a variety of technical and economic proposals, we are dedicated to providing meaningful input to the development of workable regulatory measures while minimizing the risk of unintended consequences.

Regardless of the final form the mid-term measures take, the following policy outcomes are necessary for the measures to effectively support our shared global ambitions.

Accordingly, the measures should:

• On a pathway to net zero, achieve immediate and demonstrable net reductions in GHG emissions as a priority.
• Use a realistic, goal-based approach that is data-driven and fuel and technology neutral.
• Minimize administrative burdens while ensuring effective compliance enforcement.
• Incorporate flexible compliance mechanisms to allow investments where the most benefits can be realized.
• Take into account the GHG-intensity of fuels on a lifecycle/well-to-wake basis consistent with LCA Guidelines/IPPC principles/shoreside certifications.
• Allow the broader shipping industry access to collected funds for the direct development of technology, fuels, and measures to support decarbonization efforts.
• Send a clear signal and provide incentives to shipping companies, energy producers, marine fuel suppliers and technology manufacturers to help de-risk investment decisions, support early adopters and protect them from penalization, and enhance cost certainty to ship owners and charterers.
• Reduce or close the cost gap between zero and near-zero GHG fuels and traditional (fossil) fuels while minimizing disproportionate negative impacts on trade, recognizing that technological retrofits and the uptake of energy sources and less GHG-intense fuels available now are crucial to decarbonizing the existing fleet.
• Ensure there is no double counting of emissions or payment for emissions into more than one system, and regional or national programs are avoided or are sunset/harmonized with IMO requirements.
• Identify timelines for periodic assessments of fuels and technologies, with realistic phase-in/out periods and set timelines for review and consideration of future cost increases.