Global solutions on climate change needed to create greener shipping sector

By Sarah Ktisti

Regulatory leaders need to start creating the conditions necessary for the shipping community to become greener and more competitive, Cyprus’ deputy minister for shipping Vassilis Demetriades told an audience at the 2022 Maritime Conference this week in Limassol.

“It seems that all regulatory leaders are on the same boat, there is a clear commitment to reach global solutions. We should be great listeners to the industry and act as facilitators for the shipping community to become greener and competitive,” he said.

For his part, the International Maritime Organisation’s (IMO) secretary-general Kitack Lim stressed that technology is the key to more efficient and sustainable shipping and noted that 2023 will be highly significant as the IMO begins to implement its revised greenhouse gas emissions (GHG) strategy.

“Climate change knows borders, it requires global solutions, there are challenges but also opportunities and we must all work together,” the IMO chief said.

He also stressed that in “our globalised world, the pandemic showed how reliant we are to global supply chains.”

Meanwhile, the EU’s Transport Commissioner Adina Valean recalled the difficulties faced by the shipping sector over the past few years due to Covid-19 and the conflict in Ukraine, but she noted that the EU maritime sector has experienced less disruption than others, which she said demonstrated the work done by the EU maritime community, but at the same time warned that clear rules are needed on a global level.

“But, we cannot be complacent, we need to build a more resilient maritime sector, our role is to set a clear and stable framework for the shipping industry,” she warned.

“We are at a point in time in which we are forced to rethink our relationship with fuels.”

Valean acknowledged that “things cannot change overnight, but we need to set our sights on the end-goal” for climate neutrality.

“We need clear rules at a global level,” she concluded.

Meanwhile, speaking on behalf of EU shipowners, the chairman of the EU Community Shipowners Association, Philippos Philis said the EU is moving faster towards action on climate change and highlighted the need for EU shipping to safeguard its competitiveness.

“It is important to maintain our competitiveness,” he said pointing out the risk of retaliation, warning that if one jurisdiction implements stricter standards another jurisdiction could respond with even stricter requirements.

For his part, Themis Papadopoulos, vice chairman of the International Chamber of Shipping, said climate change knows no borders, adding that solutions for decarbonisation need to be global, and stressed that regional regulations are less likely to be reciprocated by other regions.

“We really need to use this time to have an agreement in the IMO, it is not an easy task but somehow we need to put differences aside and find a common ground,” Papadopoulos said.