Global maritime transport industry commits to $5 billion R&D program to decarbonize shipping

In UK, the global maritime transport industry has submitted a proposal to form the world’s first collaborative shipping R&D program to help eliminate CO2 emissions from international shipping. The proposal includes core funding from shipping companies across the world of about $5 billion over a 10-year period.

Highlights of the proposal:

•             A new non-governmental Research & Development organization to pave the way for decarbonization of shipping.

•             Core funding from shipping companies across the world of about $5 billion over a 10-year period.

•             To accelerate the development of commercially viable zero-carbon emission ships by the early 2030s.

Meeting the IMO GHG reduction goals will require the deployment of new zero-carbon technologies and propulsion systems, such as green hydrogen and ammonia, fuel cells, batteries and synthetic fuels produced from renewable energy sources.  These do not yet exist in a form or scale that can be applied to large commercial ships, especially those engaged in transoceanic voyages and which are currently dependent on fossil fuels.

The International Maritime Research and Development Board (IMRB) will be financed by shipping companies worldwide via a mandatory R&D contribution of $2 per ton of marine fuel purchased for consumption by shipping companies worldwide, which will generate about $5 billion in core funding over a 10-year period.