GHG Emissions from Shipping

EPRG meeting

23rd April 2007 Brussels Dr. Marianne Klingbeil Head of Unit DG ENV C3 – Air and Transport European Commission

Background

• Ship emissions of CO 2 are 2-3% of world total CO 2 emissions and are • GHG emissions from ships = 97% CO gasses and 0.5% CH 4 ) 2 (1.5% N 2 O, 1% refrigerant • 40% of the global fleet is controlled by EU interests, 90% of EU international trade is by sea.

• Up to 50% savings are possible – with technical and operational improvements • Studies indicate savings are very cost effective

Action required

• EU target for reducing CO 2 emissions (“at least 20%”) • European Council Conclusions – March 2007 call for action on international maritime emissions.

• International maritime transport not included in Kyoto targets – but Annex 1 parties are obliged to ‘pursue’ reductions.

• Industry needs certainty – long term investments, ships last 30 years – need for stable framework • Positive environmental image of shipping under threat – must be maintained

Slow progress

• IMO first took up the issue in 1997 but progress is slow (political opposition).

• Post 2012 negotiations now getting under way

Policy options - Ineffective options • 1) Voluntary measures • 2) Allocation of international Maritime emissions to MS • 3) Reporting obligation • Action on refrigerant gasses – necessary but not sufficient

EU Policy option 1 – Shipping ETS • Include Shipping in EU ETS – similar to aviation BUT different • Issues – Changing – destinations, owners, operators..

– Avoidance – Scale – Data – Diversity

EU Policy option 2 – Harbour dues • Variable harbour dues based on GHG emissions • Issues – Does not guarantee reductions – Limit values difficult to agree – Route related circumstances – Port competition – Complex

EU Policy option 3 – CO ² Index Limits • Binding CO ports ² index limits for ships visiting EU • Issues – Limit values difficult to agree – Diversity of vessels – Variation in operating environments and buisness models – ‘Occasional visitor’ problem

Questions:

• How could the IMO work be accelerated?

• Do you support unilateral EU action? • Which policy strategy is favoured?

What next?

• Review recent CE Delft study • Promote discussion in national capitals • IMO MEPC meeting in July 2007 • Consider national positions for ‘post’ 2012 negotiations • Keep us informed

Thank you for your attention Dr. Marianne Klingbeil Head of Unit – Air and Transport DG Environment European Commission BU-9 6/204 Tel: +32 2 296 0493 [email protected]