Study shows concerns regarding upcoming FuelEU Maritime proposal

In Belgium, recent study on the upcoming FuelEU Maritime proposal finds that a promotion of biofuels may raise serious enforcement concerns, as a mandatory fuel standard is aimed to apply to fuels purchased also outside the EU. This could jeopardize the achievement of emissions reductions. The introduction of a complex compliance system implying the establishment of a carbon trading scheme in addition to the EU ETS is also examined. The study was commissioned by the European Community Shipowners’ Associations (ECSA) and the International Chamber of Shipping (ICS).

The study, which explores the efficacy and implications of potential measures, including new EU fuel standards, to help decarbonize shipping, finds that there are significant challenges in enforcing EU fuel standards outside the EU’s jurisdiction. A standard for fuels purchased internationally would, in essence, mandate the use of biofuels by ships due to the lack of any viable alternative fuels, especially for deep sea shipping. The study highlights a number of outstanding issues concerning the cost, availability and specification of biofuels, as well as important questions about enforcement relating to EU’s sustainability criteria under the Renewable Energy Directive.