Pooling may seem like a simple solution for complying with FuelEU Maritime regulations, but it can lead to financial challenges for shipowners. A new whitepaper from ZERO44 highlights that while pooling offsets emissions, it often involves costly investments in cleaner technologies. Alternative strategies could prove more cost-effective for compliance.
Ahti Climate has secured additional funding from Business Finland to enhance its Ahti Pool platform, following an initial grant in September 2024. This funding aims to strengthen Ahti’s growth strategy and product differentiation in the maritime emissions compliance sector, facilitating compliance with the upcoming FuelEU Maritime regulations effective January 1, 2025.
CLASSNK has released the fourth edition of its “FAQs on the FuelEU Maritime,” providing crucial updates for the shipping industry ahead of the regulation’s January 1, 2025, implementation. Key highlights include clarified cumulative penalty conditions and a prioritized order for fuels in GHG intensity calculations, supporting compliance efforts for ships over 5,000 gross tonnage.
Shipowners are increasingly registering vessels for the FuelEU Maritime initiative, set to start in 2026. Peter Czaga from the European Commission noted that about 18,000 ships have signed up. The surge in inquiries highlights the complexities of compliance and the challenges in meeting the EU’s decarbonization goals in maritime transport.
Vitol Bunkers has launched a FuelEU Maritime-compliant co-processed bunkering fuel produced at its Fujairah refinery. The fuel, meeting RMG380 VLSFO standards, ensures compliance without extra permissions. With sustainable elements from used cooking oil, it promises over 70% reduction in greenhouse gas intensity, aligning with evolving regulatory requirements.
Gasum has partnered with DNV to ensure the accuracy of its FuelEU Maritime pooling service. DNV will use its Emissions Connect solution to gather and validate emissions data from Gasum’s vessels. This collaboration aims to verify pool compliance at the end of the year, in line with the new requirements set by the FuelEU Maritime regulation.
CLdN has introduced a new service to help partners meet stricter EU environmental standards under the FuelEU Maritime directive. The use of biofuels can reduce emissions but comes at a higher cost. Pooling allows companies to combine ship performances to comply with regulations and reduce penalties. CLdN aims to lead in sustainability and compliance.
In 2024, the wind-assisted ship propulsion industry experienced significant growth, with 54 large ships operational and seven more designated as wind-ready. The International Windship Association reported a global increase in wind vessels, with an orderbook of 80 ships and more expected for 2026 and 2027. Wind propulsion is becoming popular in shipping.
The European Union’s FuelEU Maritime mandate, effective January 1, impacts shipping interests by requiring fuel-efficient decisions. Options include higher taxes, reduced consumption, or low-emission fuels. Fees on emissions per tonne for ships over 5,000 GT aim to cut greenhouse gas intensity by 80% by 2050. Compliance includes recording emissions and penalties for non-compliance.
The FuelEU initiative will not apply to Norway and Iceland, as they are EEA members but not EU Member States. However, 50% of energy used on voyages between these countries and EU Member States will be subject to FuelEU regulations from January 1, 2025. Exemptions are available for specific routes and ports until December 31, 2029.
In 2025, the shipping industry is facing the challenge of reducing greenhouse gas emissions to comply with regulations set by the International Maritime Organization. The Carbon Intensity Indicator rating is becoming stricter, with the EU ETS likely to see price increases. Ship owners are turning to LNG, biomethane, and e-methane as cost-effective and environmentally friendly alternatives.
Starting from January 1, 2025, voyages involving port calls in the European Union must comply with the new FuelEU Maritime regulation. This aims to reduce greenhouse gas emissions by promoting renewable and low-carbon fuels in maritime transport. Shipowners can utilize the Baltic Exchange’s free FuelEU Maritime calculator to assess financial impacts and make informed decisions.
The upcoming FuelEU Maritime regulation, effective from January 1, 2025, presents challenges for vessel owners in terms of regulatory understanding and compliance costs. DNV’s white paper suggests strategies to reduce expenses, focusing on well-to-wake emissions calculations and wind-assisted propulsion. Shipowners are advised to prepare early and consider cost-effective compliance options to minimize financial impacts.
The BIMCO FuelEU Maritime Clause for Time Charter Parties 2024 was created to help the shipping industry comply with upcoming decarbonization regulations. It allows charterers to choose compliance strategies and places responsibility on shipowners. Extensive industry consultations ensured practicality. BIMCO continues to develop clauses to support environmental obligations. Collaboration was key in creating this important clause.
Gasum’s pooling service offers vessels the chance to switch to renewable bio-LNG, reducing emissions by over 90% compared to traditional fuels. Viking Line is set to join, using bio-LNG for routes between Finland and Sweden to surpass emission standards. Gasum aims to provide 7 TWh of renewable gas by 2027.
