- Efficiency measures for the current maritime fleet are crucial to meeting IMO Mid-Term GHG reduction goals and reducing reliance on low-GHG fuels.
- The IMO measures are expected to be approved in April 2025 and enforced by 2027.
- Efficiency improvements are vital, as most low-carbon fuels are unsuitable for existing vessels.
- The Maritime Emissions Reduction Centre (MERC) aims to address decarbonisation challenges for the existing fleet.
The Maritime Emissions Reduction Centre (MERC) has published its first report emphasizing the importance of improving efficiency in the existing maritime fleet to meet the IMO Mid-Term GHG reduction measures. These steps are critical for cutting greenhouse gas emissions while reducing reliance on alternative low-GHG fuels, which are limited in supply and not universally compatible with older vessels, reports LR.
IMO Measures as a Driver for Efficiency
Set to be approved in April 2025 and implemented by 2027, the IMO Mid-Term GHG reduction measures include a GHG pricing mechanism and a phased fuel standard for reducing marine fuel’s GHG intensity.
These policies are expected to incentivize investments in energy-efficient technologies and emission-reducing solutions for the shipping industry.
Challenges with Low-GHG Fuels
Most alternative low-carbon fuels are crucial for decarbonisation. They are incompatible with existing vessels.
The maritime industry must also compete with aviation and road transport for the limited availability of drop-in fuels.
This makes fleet efficiency improvements an immediate priority to meet GHG reduction goals.
MERC’s Role in Supporting the Existing Fleet
MERC was founded by Lloyd’s Register’s Maritime Decarbonisation Hub and Greek shipowners. It aims to address the gap in maritime decarbonisation efforts.
While much focus is on future fuels, MERC prioritizes overcoming technical, financial, and commercial challenges for the current fleet.
Quote from MERC Leadership
Stelios Korkodilos, Director of MERC, highlighted that alternative fuels are essential. The efficiency of the existing fleet will play a pivotal role in the energy transition.
He emphasized the need for collaborative efforts to remove barriers and enable technological uptake for immediate solutions.
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Source: LR
