EU emissions rules evasion warning

The European Sea Ports Organisation (ESPO) has welcomed the inclusion of maritime in the EU emissions trading system (ETS) but warns that shipping companies may try to evade charges by reconfiguring their routes.

The EU has maintained its share in the bluefin fishery.

The reviewed ETS, which was adopted by the European Parliament on 18 April 2023, allocates a ‘carbon allowance’ and applies to ships over 5,000 gt of any flag leaving or calling at EU ports.

ESPO welcomes the ‘price tag’ now placed on shipping emissions but is concerned that it may be all too easy to evade the charges by adding a non-EU port call or changing routes.

“We believe that the EU ETS maritime can be an effective instrument to boost the decarbonisation of shipping,” said Isabelle Ryckbost, ESPO Secretary General.

“With the current scope we fear however that shipping lines still have the choice either to go green, pay, or to divert their journey to limit or avoid the ETS charge altogether.

“The Commission must keep a serious eye on this from day one. If there is evasion taking place, the rules have to be adapted,” she added.

The agreement does take into account the risks of evasion but ESPO is calling for the Commission to act as soon as evasion is identified to safeguard the competitiveness of European ports. Early action is crucial, it says, as reconfiguration of shipping routes is almost impossible to reverse.

ESPO also supports efforts to introduce a definition of ‘port of call’ which excludes stops in container transshipment ports neighbouring the EU but warns this will not be enough to ensure that evasion cannot take place. Instead it is calling for all non-EU neighbouring ports to be included, not just transshipment ones.