Knowledge

This paper aims to conduct an updated literature survey on the Market-Based Measures (MBMs) currently being proposed by various member states and organizations at the International Maritime Organization (IMO) or by the scientific and grey literature as a cost-effective solution to reduce greenhouse gas (GHG) emissions from ships. Τhe paper collects, summarizes, and categorizes the different proposals to provide a clear understanding of the existing discussions on the field and also identifies the areas of prior investigation in order to prevent duplication and to avoid the future discussion at the IMO to start from scratch. Relevant European Union (EU) action on MBMs is also described. Furthermore, the study identifies inconsistencies, gaps in research, conflicting studies, or unanswered questions that form challenges for the implementation of any environmental policy at a global level for shipping. Finally, by providing foundational knowledge on the topic of MBMs for shipping and by exploring inadequately investigated areas, the study addresses concrete research questions that can be investigated and resolved by the scientific and shipping community

The International Maritime Organization (IMO) has recently adopted short-term measures introducing technical standards for existing ships and a labeling system reflecting their operational carbon intensity. This paper investigates the relevant techno-economic implications from a shipowner's perspective and estimates the effect of six compliance options on six sample containerships. The study applies a new evidence-based bottom-up approach, and the results show that compliance, when possible, is not straightforward and costly. Engine power limitation is the most cost-effective option, but low power limits can lead to substantially increased sailing times (up to 793.92 h/year), which can be prohibitive. The option favors older ships with oversized engines as its effectiveness is mainly determined by the main engine load profile. In general, the effectiveness of the measures is not without limits, particularly concerning older ships and those that have already installed several options. Solutions such as market-based measures and alternative fuels, classed by IMO as medium- and long-term measures, must be considered soon.

Green House Gas (GHG) emissions are not the only emissions of concern to the international transport community. SOx emissions are non-GHG emissions that are caused by the presence of sulphur in the fuel. As the maximum percentage of sulphur in automotive and aviation fuels is strictly regulated in most countries around the world, much of the attention in recent years has focused on maritime transport. The attention mainly stems from the fact that in marine fuels the percentage of sulphur can be very high: it can be as high as 4.5 % in Heavy Fuel Oil (HFO), which is the fuel typically used in all deep-sea trades. Even though the amounts of SOx produced by ships are substantially lower than CO2, SOx emissions are highly undesirable as they cause acid rain and undesirable health effects in humans and animals. To mitigate these adverse environmental effects, the international shipping community has taken substantial policy measures. With the introduction of new limits for the content of sulphur in marine fuels in Northern European and North American sea areas, short-sea companies operating in these areas will face substantial additional cost. As of 1/1/2015, international regulations stipulate, among other things, a 0.1 % limit in the sulphur content of marine fuels, or equivalent measures limiting the percent of SOx emissions to the same amount. As low-sulphur fuel is substantially more expensive than HFO, there is little or no room within these companies current margins to absorb such additional cost, and thus significant price increases must be expected. Unlike its deep-sea counterpart, in short-sea shipping such a freight rate increase may induce shippers to use land-based alternatives (mainly road). A reverse shift of cargo would go against the EU policy to shift traffic from land to sea to reduce congestion, and might ultimately (under certain circumstances) increase the overall level of CO2 emissions along the entire supply chain. The purpose of this chapter is to investigate the potential effect of sulphur regulations on the share of cargo transported by the waterborne mode vis-à-vis land-based alternative

Green House Gas (GHG) emissions are not the only emissions of concern to the international transport community. SOx emissions are non-GHG emissions that are caused by the presence of sulphur in the fuel. As the maximum percentage of sulphur in automotive and aviation fuels is strictly regulated in most countries around the world, much of the attention in recent years has focused on maritime transport. The attention mainly stems from the fact that in marine fuels the percentage of sulphur can be very high: it can be as high as 4.5 % in Heavy Fuel Oil (HFO), which is the fuel typically used in all deep-sea trades. Even though the amounts of SOx produced by ships are substantially lower than CO2, SOx emissions are highly undesirable as they cause acid rain and undesirable health effects in humans and animals. To mitigate these adverse environmental effects, the international shipping community has taken substantial policy measures. With the introduction of new limits for the content of sulphur in marine fuels in Northern European and North American sea areas, short-sea companies operating in these areas will face substantial additional cost. As of 1/1/2015, international regulations stipulate, among other things, a 0.1%limit in the sulphur content of marine fuels, or equivalent measures limiting the percent of SOx emissions to the same amount. As low-sulphur fuel is substantially more expensive than HFO, there is little or no room within these companies current margins to absorb such additional cost, and thus significant price increases must be expected. Unlike its deep-sea counterpart, in short-sea shipping such a freight rate increase may induce shippers to use landbased alternatives (mainly road). A reverse shift of cargo would go against the EU policy to shift traffic from land to sea to reduce congestion, and might ultimately (under certain circumstances) increase the overall level of CO2 emissions along the entire supply chain. The purpose of this chapter is to investigate the potential effect of sulphur regulations on the share of cargo transported by the waterborne mode vis-à-vis land-based alternatives.

The purpose of this paper is to assess the status and prospects of the decarbonization of maritime transport. Already more than two years have passed since the landmark decision of the International Maritime Organization (IMO) in April 2018, which entailed ambitious targets to reduce greenhouse gas (GHG) emissions from ships. The paper attempts to address the following three questions: (a) where do we stand with respect to GHG emissions from ships, (b) how is the Initial IMO Strategy progressing, and (c) what should be done to move ahead? To that effect, our methodology includes commenting on some of the key issues addressed by the recently released 4th IMO GHG study, assessing progress at the IMO since 2018, and finally identifying other issues that we consider relevant and important as regards maritime GHG emissions, such as for instance the role of the European Green Deal and how this may interact with the IMO process. Even though the approach of the paper is to a significant extent qualitative, some key quantitative and modelling aspects are considered as well. On the basis of our analysis, our main conjecture is that there is not yet light at the end of the tunnel with respect to decarbonizing maritime transport.

The purpose of this chapter is to present some basics as regards the energy efficiency of ships, including related regulatory activity at the International Maritime Organization (IMO) and elsewhere. To that effect, the Energy Efficiency Design Index (EEDI) is first presented, followed by a discussion of Market Based Measures (MBMs) and the recent Initial IMO Strategy to reduce greenhouse gas (GHG) emissions from ships. The discussion includes commentary on possible pitfalls in the policy approach being followed.

The purpose of this chapter is to introduce the concept of Market Based Measures (MBMs) to reduce Green House Gas (GHG) emissions from ships, and review several distinct MBM proposals that have been under consideration by the International Maritime Organization (IMO). The chapter discusses the mechanisms used by MBMs, and explores how the concept of the Marginal Abatement Cost (MAC) can be linked to MBMs. It also attempts to discuss the pros and cons of the submitted proposals.

Global warming and, correspondingly, reducing CO2 emissions is one of the most challenging tasks the world faces today. The maritime industry contributed to 2.89% of the global anthropogenic CO2 emissions. To decrease this share, the International Maritime Organization (IMO) defined, among others, the goal to reduce the carbon intensity of international shipping by 40% until 2030. In this context, the short-term measures recently adopted, in the form of a technical standard (Energy Efficiency Existing Ship Index, EEXI) and a rating scheme based on an operational indicator (Carbon Intensity Indicator, CII), mark a crucial step to achieving the mentioned goal. In addition, the EU Commission has recently introduced the FuelEU Maritime Initiative limiting the annual greenhouse gas (GHG) intensity of a ship’s energy use incorporating a reduction occurring in a five-year rhythm between 2025 and 2050. The paper investigates the practical options availed to existing containerships of different sizes and technological vintages for meeting the specific EEXI, CII, and GHG intensity reduction requirements imposed by the regulations. The investigation will be based on the actual technical and operational profiles of six sample ships and will consider a set of possible compliance options including, but not limited to, engine power limitation, waste heat recovery system, variable frequency drives, and virtual arrival. The data used originates from noon reports of existing containerships provided by a European industry leader. The ship-specific CO2 emission reduction potentials required for the impact assessment result from either literature or actual data-based calculations. Financial data is used for investigating the economic impact of the reduction requirements. Conclusions drawn include an operational advantage that pre-EEDI ships enjoy when applying engine power limitation (EPL) for EEXI compliance, the occurrence of payback periods exceeding ship lifetimes, and an estimate of the effect that onshore power supply can have on complying with the FuelEU Maritime Initiative.

The international Maritime Organization (IMO) Weather Criterion has proven to be the governing stability criteria regarding minimum metacentric height for e.g., small ferries and large passenger ships. The formulation of the Weather Criterion is based on some empirical relations derived many years ago for vessels not necessarily representative for current new buildings with large superstructures. Thus, it seems reasonable to investigate the possibility of capsizing in beam sea under the joint action of waves and wind using direct time domain simulations. This has already been done in several studies. Here, it is combined with the first order reliability method (FORM) to define possible combined critical wave and wind scenarios leading to capsize and corresponding probability of capsize. The FORM results for a fictitious vessel are compared with Monte Carlo simulations, and good agreement is found at a much lesser computational effort. Finally, the results for an existing small ferry will be discussed in the light of the current weather criterion.

In this video, Professor Harilaos Psaraftis (DTU Technical University of Denmark) will outline the main decarbonization challenges.

The International Maritime Organization (IMO) adopted the so-called Initial IMO Strategy in 2018, stipulating that greenhouse gas (GHG) emissions from international shipping need to be reduced by at least 50% by 2050, and CO2 emissions per transport work are to be reduced by at least 40% by the year 2030, both compared to the 2008 levels.

At the same time, there is an elephant in the room: It is the intent of the European Commission and the European Parliament to include shipping into the EU ETS. How the elephant will be handled is not clear. In this talk we will outline the main decarbonization challenges through a focus on a RoPax case study.
The session was developed in collaboration with MARLOG.