EnvironmentRegulatory

Charterers ought to pay for carbon credits: BIMCO

Global shipowning body BIMCO has come out with an updated greenhouse gas (GHG) position statement, amid much jostling for who should pay for shipping’s decarbonisation. Unsurprisingly the organisation has said that charterers should pay for carbon pricing while warning that excessive retroactive measures could have negative unintended consequences.

BIMCO stated in a new position paper that it believes that the commercial party responsible for setting the speed and route of a ship should also provide for emissions allowances or credits under a market-based measure (MBM). This means the charterer in case of a time charterparty and the party that commits the ship to the voyage charter in the case of a voyage charterparty.

BIMCO called for new commercial solutions and shared responsibilities between charterers and shipowners to move shipping’s green transition ahead.

BIMCO remains a persistent advocate for the implementation of a global MBM. Such a measure, BIMCO stessed, should feature predictability and stability with regard to carbon price and thereby be suitable for incorporation in commercial contracts.

BIMCO also said that the International Maritime Organization’s green targets need to be upped, coming out in support of net zero carbon for shipping by 2050.

BIMCO also pointed out that excessive retroactive technical measures when applied to existing ships could result in premature retirement of ships, something the organisation suggested could lead to unnecessary additional emissions from building new ships.

BIMCO also said it is concerned that operational efficiency indices such as the upcoming Carbon Intensity Indicator (CII) are potentially misleading on an individual ship basis and not always representative of a ship’s true operational efficiency.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

Comments

  1. Carbon credits are a massive scam on a global scale that the left wing nutters have pushed so hard, that we just accept. Wake up. The left are destroying us and we are too scared to say so. The planet is heated and cooled by the sun, not this nonsense.

  2. Scam of the century consists of three axes: ecological transition, digital transformation, and gender equality. Millions of euros for reforms and investments that will further impoverish the exhausted and aging European citizen while enriching the global plutocracy.

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