EU ETS Reforms Boost Maritime Decarbonisation, But New Port Competition Rules Raise Industry Concerns
The World Shipping Council (WSC) has welcomed the European Commission’s latest revisions to the European Union Emissions Trading System (EU ETS), calling the proposed measures a significant step toward accelerating maritime decarbonisation, expanding the use of alternative marine fuels, and strengthening Europe’s position as a global green shipping hub.
According to the World Shipping Council, the Commission’s proposed fuel support mechanism follows a policy approach already used in the aviation sector by helping narrow the cost gap between conventional marine fuels and cleaner alternatives. The move is expected to encourage wider adoption of sustainable fuels, stimulate production investment, and enhance Europe’s alternative fuel bunkering infrastructure.
Simon Bergulf, Vice President for Environment and Climate at the World Shipping Council, said the container shipping industry has already committed more than €160 billion to vessels capable of operating on renewable fuels. However, he stressed that the transition depends on greater availability of affordable clean fuels.
“Liner shipping has already invested over €160 billion in ships that can operate on renewable fuels, but these cleaner ships need cleaner fuels. Closing the price gap is one of the most practical ways to get those fuels into ships’ tanks,” Bergulf said.
The shipping industry notes that sustainable maritime fuels currently remain 100% to 400% more expensive than conventional marine fuels, making fuel costs one of the largest obstacles to the sector’s decarbonisation ambitions.
The WSC also welcomed the European Commission’s proposal to reinvest a substantial share of EU ETS revenues directly into maritime decarbonisation projects. The organization believes these funds could help modernize European ports by expanding alternative fuel infrastructure, improving port electrification, and supporting cleaner shipping operations across the region.
In addition, the Council acknowledged the Commission’s recognition that the existing ETS framework can reduce the competitiveness of European ports for cargo moving between non-EU markets and transshipped within Europe.
However, the industry raised concerns over another element of the proposal that would expand the list of neighbouring non-EU ports affected by the ETS based primarily on port infrastructure.
According to the World Shipping Council, ports located within 150 nautical miles of the European Union could face penalties simply because they possess deep-water facilities, long berths, and ship-to-shore cranes, even if they do not actually handle significant transshipment activities.
“The ETS should be focused on cutting emissions, not making neighbouring non-EU ports less competitive,” Bergulf stated.
The Council also called for stronger guarantees in the final EU ETS revisions to prevent double carbon payments once the International Maritime Organization (IMO) introduces a global greenhouse gas pricing mechanism. WSC believes such certainty would reinforce Europe’s leadership in international climate negotiations while supporting global shipping decarbonisation efforts.
According to the World Shipping Council, EU trade carried by liner shipping is valued at approximately €2.5 trillion annually, with around 90% of the bloc’s goods by volume transported by sea. Liner shipping services make more than 65,000 port calls to around 130 European ports every year, linking Europe with over 900 ports worldwide and supporting global trade and supply chains.
