UK shipping backs global emissions trading scheme

The Chamber of Shipping, the representative body for UK-based commercial shipping, announced on Monday (December 15) it advocated “a global and open emissions trading scheme” for the international shipping industry.

An emissions trading scheme for ships would put a price on maritime carbon emissions, which should lead to cleaner ships and help fight climate change.

Martin Watson, president of the UK Chamber of Shipping, described the UK shipping industry’s action as “a bold and far-reaching decision that gives a lead to the rest of the shipping world.”

He said it was an important move both in terms of limiting emissions and in protecting the future of the industry.

“We need to take whatever action is needed to try to limit emissions, but without accidentally causing freight to be shifted from ships to other, less carbon-friendly forms of transport. That would be catastrophic in terms of total emissions,” he said.

Shipping has a lower carbon footprint than road or aviation for freight transport. The carbon cost of carrying a tonne of freight by ship is 10 times less than by road  and 100 times less than by air.

However, because ships carry 80 per cent of all world trade goods and 90 per cent of the UK’s trade, they account for nearly three per cent of total global carbon emissions.

Moreover, there is currently no effective way of including shipping in national carbon emissions reduction programmes, because ships move between different countries, meaning they can easily avoid national carbon regulation.

Such challenges are reflected in national legislation. Last month, the UK adopted the Climate Change Act, which sets legally binding targets on reducing greenhouse gas emissions, but emissions from shipping – and aviation – will only be monitored under the new legislation.

The case for an international emissions trading scheme, said the Chamber, was further strengthened because technical innovation and fuel efficiency measures only offer limited scope for improvement in the shipping industry.

“The high carbon efficiency of this mature industry means further operational and technical improvements are unlikely to be able to keep pace with reductions expected from other sectors,” it said.

Environmental group WWF welcomed the position being taken by the shipping body. 

Peter Lockley, head of Transport Policy at environmental group WWF-UK, said: “I’m very pleased that the UK shipping industry is advocating an emissions trading system for ships. If designed well, the scheme would put a price on maritime carbon emissions, speeding up the drive for cleaner ships and helping to pay for low-carbon development in poorer countries.”

Mr Watson said the Chamber would now be putting its case to other national shipping bodies and the International Chamber of Shipping to try to get agreement on an emissions trading scheme ahead of the Climate Change Conference in Copenhagen next year.