Implementation of the European Union Emissions Trading System
The second new initiative is the implementation of the European Union Emissions Trading System (EU ETS) Directive for shipping, which is now being legislated and will come into force on 1 January 2024 with a phased application. This is part of the Fit for 55 package of measures being adopted by the EU to encourage the reduction of emissions. The other noteworthy elements for shipping are: the FuelEU Maritime Regulation, the Alternative Fuels Infrastructure Regulation and the Energy Taxation Directive.
Collectively, these will cause significant challenges and costs to shipping, also with major consequences for ship managers. Sebastian von Hardenberg outlines how BSM is preparing for the EU ETS in this ‘Highlights’ edition.
BSM is committed to reducing emissions as set out in our Sustainability Report. Shipping has a major part to play in protecting our environment, and we fully recognise our responsibilities and are investing resources accordingly. Since seaborne transportation is by far the most environmentally friendly way of transporting goods, I hope that the profile of our industry will be enhanced by the emission reduction initiatives from the IMO and the EU, and our diligent compliance.
I wish you all smooth sailing,