IMO may codify alternative net-zero bunker rules in 2027: US FMC

The International Maritime Organization (IMO) may establish a new Net-Zero Framework (NZF) by 2027, according to US Federal Maritime Commission Chairman Laura DiBella. The UN agency is set to discuss the framework during meetings from November 23 to December 4. The NZF, currently under formation, aims to impose mandatory carbon costs on maritime greenhouse gas emissions starting in 2028.

However, the US, led by DiBella, opposes the current NZF, arguing that it would impose significant costs on the shipping industry and ultimately pass these expenses onto businesses and consumers. The US has suggested a commercially viable, technology-neutral NZF with achievable emissions targets and voluntary market-based compliance, without mandatory carbon charges.

DiBella expressed support for LNG and bio-LNG, stating that the US could meet over 60% of global maritime bunker demand by 2050 and has the infrastructure to support it.