HomeCarbon NewsHow Shipping will be Affected by the EU's New Carbon Deal?

How Shipping will be Affected by the EU’s New Carbon Deal?

The EU is proposing a new carbon pricing plan that will impact the price of carbon emissions, specifically in the transport sector.

Legislation in the EU is being drafted to accomplish the goal of being carbon neutral by 2050. To accomplish this goal, the EU is seeking a 90% reduction in transport emissions by 2050.

Solutions for Shipping

Alternative methods of transport and fuels will be provided to member states to reduce emissions. The EU mentions multimodal transport as a solution. This results in multiple transport avenues such as railways or waterborne transport for goods to move within the union.

As a result, these trade routes can be simplified and optimized in a way that keeps pollution to a minimum.

There is staunch opposition from shipping companies, as green alternatives to current fuels such as renewable hydrogen or ammonia are not incentivized in the deal. Rather, the EU is incentivizing using natural gas as a fuel source, which can be considered toxic if fuel spills are to occur.

Inland Waterways – the Future?

According to the EU, inland waterways account for 17% of the emissions that road transport uses and 50% of the emissions railways use. Inland Waterways would decrease carbon pollution, while also decongesting many high traffic land routes.

Noise pollution is also a factor that would decrease with increased shipping through inland waterways.

 

Most Popular
LATEST CARBON NEWS

America to See a Surge in Renewable Capacity in 2024

The United States is poised for a significant boost in renewable energy capacity by over 67 gigawatts (GW) in 2024, driven by policy shifts...

Sublime Systems Lands $87 Million Funding from DOE for Low-Carbon Cement

Sublime Systems, a startup pioneering a revolutionary method of producing fossil-fuel-free cement, has been chosen by the U.S. Department of Energy's Office of Clean...

Singapore’s CRX Partners with Malaysian University for Carbon Projects

In the latest developments in the carbon market, Malaysian University - Universiti Teknologi Malaysia (UTM) and Singapore-based Climate Resources Exchange International (CRX) have collaborated...

Emissions Futures Rally by Over 25%: Insights from Xpansiv’s CBL Platform

Explore the latest trends and developments in emissions futures trading, powered by data from Xpansiv Data and Analytics. Dive into the significant rally witnessed...
CARBON INVESTOR EDUCATION

What Is COP28? Key Issues to Watch Out at 2023 Climate Summit

After a record-breaking year of devastating effects of climate change, from record wildfires in Greece and Canada to floods in Libya, the United Nations...

Climate Disclosure: New Corporate Standards for a Net Zero World

As part of the world’s continued efforts to combat climate change and transition towards net zero, one important piece of the puzzle is new...

Carbon Pricing: Understanding The Economics and Trends of Fighting Climate Change

As global temperatures continue to rise, the urgency surrounding climate policies has intensified, thrusting carbon pricing into the limelight of climate discussions. The race to...

The EU Corporate Sustainability Reporting Directive (CSRD): Key Things to Know

Companies operating in the European Union will have to deal with new non-financial and sustainability reporting requirements starting January 2024 with the EU's Corporate...