Disagreements are growing in the global shipping industry just days before the International Maritime Organization (IMO) is set to vote on a new, historic Net Zero Framework (NZF), which is intended to pave the way for climate-neutral shipping by 2050.
Seven leading shipping associations – including from Denmark, Norway, Japan, and Singapore – have issued a joint appeal to the world’s governments to “make history in London” by approving the proposal. They warn that a ‘no’ vote will create a chaotic patchwork of regional regulations and hinder investments in green technology.
“Our industry is global by nature and needs global rules to handle climate change,” states the declaration.
The new framework contains proposals for a global CO₂ tax, fuel standards, and a central climate fund to support green infrastructure and reward shipping companies that meet the requirements.
But the opposition is massive. A group of some of the world’s largest shipping companies – including John Fredriksen’s Frontline, Capital Maritime, Angelicoussis Group, and Saudi Bahri – warns that the plan will impose unbearable financial burdens on the industry.
The US government is also against the proposal and has threatened economic countermeasures against countries that vote in favor.
If a consensus is not reached, the IMO will likely resort to a rare formal vote, requiring a two-thirds majority from the 176 member countries to pass.
The result of the vote – expected next week – could become a decisive turning point for international shipping and its path towards climate neutrality.
-emte
