Amid the uncertainty surrounding carbon pricing, major shipping and technology companies in the maritime sector continue to bet on a transition to cleaner operations. Although the International Maritime Organization (IMO) has temporarily delayed the implementation of a global price on carbon, the industry has not lost momentum towards decarbonization.
The shipping industry and its long-term strategy
Despite regulatory changes, many companies continue to invest in alternative fuel-powered ships alternative fuels such as liquefied natural gas (LNG), methanol and ammonia. These dual-fuel vessels represent a growing percentage of new shipyard orders. In fact, it is projected that by 2028 most new deliveries will be compatible with cleaner technologies, according to recent analysis.
Hakan Agnevall, CEO of Wartsila, noted that shipowners maintain a 30-year investment outlook, which reduces the impact of temporary political decisions.
It is not bold to say that regulations will change during those 30 years.
He stated.
Carbon pricing and climate targets
The IMO set a 2023 target of zero net emissions by 2050. While the delay in setting the carbon price may have raised doubts, regional regulatory frameworks, such as carbon taxes in Europe, have encouraged early action.
For now, the major shipping lines prefer to stay ahead of an increasingly demanding regulatory environment. Even companies such as Pacific Basin, which in some cases have relied on traditional ships, continue to closely monitor the evolution of the green fuel market.
A market in accelerated transformation
Investments in green technology are not limited to engines. Energy-efficient devices and digital solutions are also being incorporated to reduce consumption. According to data from the World Shipping Council, more than 1,100 dual-fuel ships are dual-fuel ships have been delivered or are on order, representing an investment of more than $150 billion.
Meanwhile, industry players insist that technological readiness will be key to meeting global climate targets, regardless of the political timetable. In doing so, shipping reaffirms its role within the global energy transition.
Source: Reuters
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