UK shipping calls for industry-wide emissions trading

The UK shipping industry is calling for the introduction of a global emissions trading system, which it has claimed would prove more effective at curbing carbon emissions than regional schemes such as that operated by the EU.

Currently, shipping is not included in the EU emissions trading scheme (ETS), with the industry claiming that with ships moving between countries – often never landing in their countries of ownership – it is difficult to include them in local trading schemes.

However, the EU has approved plans to include aviation in the ETS and the industry is concerned that it could ultimately move to bring shipping within the scheme.

These fears were further fuelled earlier this autumn, when the UK's Climate Change Act confirmed that the government would monitor shipping's emissions as part of its target to cut carbon emissions 80 per cent by 2050.

Martin Watson, president of the UK Chamber of Shipping, said that a global emissions trading scheme for the entire industry would prove more effective than national efforts to curb emissions, that would simply result in ships registering in countries or regions with more lax environmental standards.

He admitted that the idea had not yet garnered widespread support across the industry, but insisted that shipping firms and national associations should support the proposal.

"An emissions trading scheme for the shipping industry remains a concept rather than a defined path, and many parts of the global industry are still to be convinced that this is the best course of action," he said.

"But I believe that if we can provide leadership and make a coherent and compelling case, then other national associations will follow."

The move was welcomed by Peter Lockley, Head of Transport Policy at environmental group WWF-UK.

"I am very pleased that the UK shipping industry is advocating an emissions trading system for ships and I look forward to working with them to refine and build support for the proposal," he said. "If designed well, the scheme would put a price on maritime carbon emissions, speeding up the drive for cleaner ships and helping to pay for low-carbon development in poorer countries."

The UK Chamber of Shipping already supports an initiative from the International Maritime Organisation (IMO) to create a new ship design index to encourage technical innovation for new ships.

The shipping industry has traditionally faced less scrutiny over its environmental footprint than other forms of transport and remains an extremely carbon efficient means of transporting goods – emissions per tonne transported are 10 times lower than for road transport and 100 times lower than for aviation.

However, the industry transports 80 per cent of the world's traded goods and as a result its overall carbon footprint is larger than that of the much maligned aviation industry, accounting for around three per cent of global emissions.