- The shipping community has called for a $5bn IMO shipping decarbonization R&D effort.
- It is to be funded by a $2 per ton tax on marine fuels.
- However, the Marshall Islands and the Solomon Islands are also calling for a tax on the emissions that those fuels generate.
A recent news article published in the Insurance Marine News reveals that Pacific islands propose levy on ships’ GHG emissions.
The two island states
The relevant governments of the two island states have submitted a proposal to IMO’s Marine Environmental Protection Committee (MEPC) calling for a $100 a tonne tax on ships’ CO2 emissions.
Albon Ishoda, the ambassador of the Marshall Islands to Fiji, said that “the proposal would establish a mandatory universal GHG levy with an entry price of $100 per tonne/CO2e with regular upward ratchets following review.” He said that “the majority of the funds raised from the levy would help climate vulnerable like ours meet different climate mitigation and adaption needs.”
Did you subscribe to our daily newsletter?
It’s Free! Click here to Subscribe!
Source: Insurance Marine News
