- INTERCARGO advocates for simplified, practical measures to decarbonize dry bulk shipping.
- The association supports an integrated IMO net-zero framework and a predictable GHG pricing system.
- INTERCARGO emphasizes collaboration and global governmental action to ensure effective decarbonization.
INTERCARGO, the International Association of Dry Cargo Shipowners, reaffirmed its dedication to sustainable shipping by advocating for a simplified approach to the IMO’s mid-term greenhouse gas (GHG) reduction strategy. The association seeks practical solutions to ensure the effective implementation of emissions reduction measures.
Support for Integrated Net-Zero Framework
INTERCARGO endorses the updated Bahamas, Liberia, and ICS proposal for an “IMO net-zero framework,” highlighting the importance of an integrated approach to achieving global decarbonization goals.
The association advocates for a flat-rate contribution per tonne of GHG emitted, with incentives for vessels using zero and near-zero GHG fuels. This system aims to streamline the pricing mechanism while encouraging cleaner fuel adoption.
Predictability for Stakeholders
INTERCARGO pushes for fixed annual GHG fees that remain consistent over a minimum five-year period. It provides greater predictability for shipping stakeholders and reducing financial uncertainty.
INTERCARGO supports the comprehensive “well-to-wake” emissions accounting approach. It urges the IMO to address concerns about upstream emissions that are beyond the shipping sector’s control.
Cautious Approach to Decarbonization Fund
The association calls for a deep review of the legal framework surrounding the proposed decarbonization fund. It emphasizes alignment with UN climate fund principles to ensure transparency and fairness.
INTERCARGO supports the principle that commercial operators, who bear fuel costs, should also cover GHG fees and compliance costs to ensure equitable cost distribution in the industry.
Reducing Administrative Burden on Bulk Shipping
The association stresses the importance of reducing the administrative burden on dry bulk tramp shipping. This sector faces unique compliance challenges due to its global operational reach and reliance on green energy access in ports.
According to INTERCARGO’s Secretary General Kostas Gkonis, “The path to shipping’s decarbonization must be paved with practical, implementable solutions,” reflecting the sector’s commitment to environmental responsibility while maintaining operational efficiency.
INTERCARGO emphasizes the necessity for global governmental action and collaboration across the maritime supply chain to meet the ambitious decarbonization goals set forth by the IMO.
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Source: Intercargo
