EU ETS overhaul would boost support for cleaner ship fuels
In Brussels, the European Commission proposed revising the EU Emissions Trading System to provide shipping companies with more direct support for sustainable marine fuels and zero-emission propulsion.
The plan would reserve 110 million allowances from as early as 2028 through 2040. Unlike existing maritime support distributed through the Innovation Fund, allocations would be based on companies’ verified use of eligible fuels or technologies.
The mechanism would cover 55% of the remaining price gap for eligible biogas and advanced biofuels, 90% for renewable fuels of non-biological origin and 80% for low-carbon hydrogen and fuels. It would cover 90% of the additional cost of eligible zero-emission propulsion.
The wider revision would also expand ETS coverage to certain smaller ships and strengthen measures intended to prevent evasive calls at nearby non-EU ports.
Category: Sustainable Marine Fuels
