The International Maritime Organization (IMO) has set ambitious goals to reduce greenhouse gas emissions from shipping. They aim to reduce carbon intensity by 40% by 2030 and achieve net-zero emissions by 2050. To achieve these targets, the IMO emphasizes the need for new, low-emission fuels, reports Marine Insight.
Sustainability Of Marine Fuels
The approach of the EU is encapsulated in the RED II, which requires that renewable and low-carbon fuels possess certificates guaranteeing sustainability. This procedure involves a Proof of Sustainability (PoS) through which the fuel undergoes tracking by the supply chain to ensure observance of the conditions required to be environmentally compliant.
Both IMO and EU rules require a certificate that proves the sustainability of marine fuels. This includes:
- Lifecycle Assessment: Examining emissions at production, use, and end.
- Proof of Sustainability: Making sure that biofuels and other options follow certain environmental rules.
- Annual audit: The certification programs must be audited annually to ensure compliance with sustainability standards.
Type of Fuel Covered
The criteria for certified sustainable marine fuels under the ISCC (International Sustainability and Carbon Certification) system are designed to ensure compliance with environmental, social, and traceability standards.
- Biofuels: Fuels produced from bio-based feedstocks.
- Renewable Fuels of Non-Biological Origin (RFNBOs): Includes fuels derived from renewable energy sources, such as hydrogen produced via electrolysis.
- Recycled Carbon Fuels (RCFs): Fuels made from recycled materials.
Criteria for Certified Sustainable Fuels
All parts of the supply chain are certified for total traceability. Data is passed down the supply chain through sustainability reports.
For each step of the life cycle of GHG, the emissions are calculated across the supply chain to determine how carbon-intensive are marine fuels.
Below are the key components which are assessed for being a compliant sustainable fuel.
Greenhouse Gas (GHG) Emissions: Fuels shall have at least lifecycle GHG savings against fossil fuels. For example, RFNBOs shall reduce the level of GHG emission by at least 70 per cent against a defined comparator.
Sustainable Feedstock Production: Feedstocks shall be produced in a manner that avoids biodiverse and high carbon stock areas and is conducive to responsible land use practices.
Fair Labour Practices: Respect for International Labour Rights and Fair Conditions of Work are mandatory.
Community Relations: Companies should interact with local communities they impact through their operations responsibly.
Mass Balance System: ISCC requires a mass balance system to be documented and traceable at every step from feedstock production through to end use 24.
Challenges
An increasing quantity and intricacy of regulatory frameworks, along with the associated certification frameworks. Often, there is no full consistency of differing regulatory regimes in regard to certification.
Entities in the value chain, including fuel producers who aspire to penetrate many markets, are faced with numerous certification standards that are mostly not comprehensively aligned. Certification schemes have limited flexibility in aligning their certification needs if core regulatory structures are different for different regions.
Documentary evidence can only be sought from obligated parties by the authorities regarding the adequacy of the fuel provided/utilized Usually, it comes in the form of what is known as the PoS and PoC in the case of fuels used in the Maritime sector, indicating all relevant sustainability and GHG information for a fuel batch.
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Source: Marine Insight
