As aviation is on the way to become a part of the EU’s system for carbon trading from 2012, the question that will inevitably come under the spotlight is whether or not the shipping industry will also inevitably follow this path. Although the International Maritime Organisation (IMO) and the UN Framework Convention on Climate Change (UNFCCC) are making efforts to reduce emissions from shipping, the European Commission is gradually getting impatient and seems to be determined to take action in 2012 if sufficient progress is not made in the meantime.
Despite of the approaching expiration date of the Kyoto 중국배대지 Protocol and the uncertainty arising thereof, The EU’s resolution to move toward a low-carbon economy seems stronger than ever and the expansion of the EU ETS system is a step in that direction. The recent inclusion of emissions from the airline industry has brought about excitement and worry in the shipping sector as well, especially considering that a commitment to include it into the EU ETS was made as early as 2005 – the year when the carbon cap-and-trade system was first launched.
At present, the EU Emissions Trading System (EU ETS) is the most integrated carbon trading mechanism in the world, operating on the basis of the “cap and trade” principle, where companies receive emission allowances within a certain limit or a “cap” that they can later on trade among themselves. One of the most important steps toward integrating the transport sector into the EU ETS was taken as the European Commission adopted the decision that, from 2012, emissions from all domestic and international flights arriving or departing from EU airports, will be covered by the EU ETS. The decision was met with approval and criticism alike and naturally provoked the discussion about the inclusion of the shipping industry in the emissions reduction system.
Shipping currently accounts for a surprising 3% of global emissions, and according to the Directorate-General for Climate Action of the European Commission (DG “CLIMA”), in the absence of action, greenhouse gas emissions from shipping are expected to more than double by 2050. With the increased shipping traffic recently observed through arctic shipping routes, the environmental consequences of shipping seem to be more pressing than ever, as carbon emissions could further speed up ice melting in the Arctic.
Emissions from the shipping industry are not covered by the Kyoto Protocol and the specifics of the maritime sector make its inclusion in a carbon trading scheme a rather complicated matter. Just like aviation, the shipping sector is not a land-based industry and does not operate on a limited territory. Therefore, the successful integration of shipping emissions into EU ETS would require cooperation of both governments and shipping companies based outside the EU. And to complicate matters even more, recently the UK shipping industry rejected the urges for European action in the field. As Mark Brownrigg, director general of the UK Chamber of Shipping, told the Guardian, “The EU’s emissions trading scheme will not work for shipping. It is not suitable. It is not a global system, and shipping is”.