- The International Maritime Organization will impose a $100-per-ton fee on excess shipping emissions starting in 2027, marking the first global climate levy for the industry.
- The fee could raise up to $13 billion annually to fund cleaner fuel technologies, support developing nations, and reward low-emission ships.
- While hailed as a climate milestone, critics warn the fee may not drive real emission cuts; the U.S. abstained over economic concerns.
In a landmark move to combat climate change, major shipping nations have agreed to impose the first-ever global fee on greenhouse gas emissions from ships. This initiative, led by the International Maritime Organization (IMO), introduces a $100 fee per ton of emissions above set thresholds, starting in 2027, reports AP News.
The measure is expected to generate up to $13 billion annually, which will be used to support the transition to cleaner shipping technologies, reward low-emission vessels, and assist developing nations in adopting greener practices.
Global shipping emissions fee approved
The agreement also includes the establishment of a marine fuel standard aimed at gradually adopting cleaner fuels to achieve net-zero emissions in the shipping industry by 2050. While environmental groups have welcomed the decision, some have criticized it as insufficient for combating climate change, warning that it may allow companies to pay for emissions rather than reduce them.
Notably, the United States abstained from the negotiations, expressing economic concerns over the measures. The fee structure emerged as a compromise between a flat levy favored by Pacific island nations and a credit trading model supported by countries like China and Brazil. An emissions control area for the North-East Atlantic was also approved as part of the plan. The agreement is set to be formally adopted in October, amid calls from vulnerable nations to strengthen the measures for greater climate impact.
Did you subscribe to our daily Newsletter?
It’s Free Click here to Subscribe!
Source: AP News
