FuelEU Maritime: early lessons from the first year of compliance

The first year of compliance with FuelEU Maritime has provided early insights into how shipping companies are meeting greenhouse gas (GHG) intensity targets. Joe Bettles, Climate Policy Manager at the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping, discussed the findings with reporters. According to data, 92% of vessels used the pooling mechanism to trade excess compliance with others, while only 2% utilized borrowing.

The remaining vessels either paid a penalty or met their targets through low-GHG intensity fuels such as LNG or biofuels. Bettles explained that the pooling mechanism, which allows vessels to trade compliance surpluses, proved more attractive than paying penalties, as prices for compliance surpluses remained below the EUR 640/tCO₂eq penalty for heavy fuel oil.

LNG may have contributed around one-third of the required reduction, with biofuel blends accounting for the rest. The report highlights three key lessons for the IMO: a fuel standard can work, regulations should support a broader mix of energy sources, and policy stability and clear reduction pathways can alleviate uncertainty for shipping companies.

Skuld, a Mission Ambassador to the Center, emphasized the platform's value for Skuld in understanding shipowners' challenges and supporting dialogue across the maritime value chain.