ECSA and T&E seek to include green fuels in Clean Industrial Deal

The duo has urged European leaders to stimulate more investments into clean shipping to aid maritime decarbonisation. 

PHOTO: European Parliament headquarters in Strasbourg, France. Getty Images

The European Community Shipowners’ Associations (ECSA) and the environmental nonprofit Transport & Environment (T&E) want shipping to be included in the Clean Industrial Deal, saying it can boost European industrial capacity while aligning with net-zero targets.

The duo cite data from the Draghi Report released last month. The report noted that shipping is a tough sector to decarbonise as it lacks financial resources.

The European shipping industry will need €40 billion ($43 billion) in annual investments between 2031 and 2050, the report highlighted.

In order to overcome this investment gap, the EU should use funds from the EU Innovation Fund, as well as revenue generated from ships complying with the EU Emissions Trading System (EU ETS).

They also call for policies to establish dedicated supply requirements for fuel producers in European ports. This will allow shipping easy access to green energy. 

"Policymakers must fill the regulatory gap by requiring fuel producers to make available green marine fuels in European ports, while carbon market revenues should support this endeavour," said Faig Abbasov, shipping director at T&E.

By Manjula Nair

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