NGOs call on IMO member states to hold firm in support for Net Zero Framework
Ahead of next week’s key meeting of the IMO, the Clean Shipping Coalition is calling on member states to “ignore dangerous distractions” and hold firm in their support for the Net-Zero Framework (NZF) in the face of “alternative proposals” that seek to undermine climate action by the shipping sector.
“While less ambitious than we had hoped for, the NZF’s broad political support from member states means it remains the best tool available to meet the IMO’s Greenhouse Gas Strategy goals on climate, decarbonisation and a just and equitable energy transition for the shipping industry, and must be adopted by the IMO this December”, said Clean Shipping Coalition (CSC) President Lukas Leppert.
“The result of multiple rounds of negotiations, the NZF is already by any measure, an acceptable compromise. Any further weakening would lead to a less effective, slower, and costlier transition”.
The IMO has committed to a long-term goal of decarbonisation by 2050, interim targets of a 30% reduction in absolute emissions by 2030 and 80% by 2040, and its commitment to a just and equitable transition.
Discussions during ISWG-GHG 22 (Intersessional Working Group on Reduction of GHG Emissions from Ships in London, 1-4 September) are expected to include IMO’s long negotiated compromise agreement, the Net-Zero Framework (NZF), and its proposed adoption at December’s Marine Environment Protection Committee (MEPC 85/ES.2). Approved during MEPC 83 in 2025, the NZF includes a “global fuel standard” (GFS), which requires ship operators to gradually decrease the amount of greenhouse gas emitted by shipping fuels - or pay penalties. The framework also introduces a mechanism that puts a price on a portion of greenhouse gases ships emit, giving the industry a clear financial incentive to reduce emissions in line with the global fuel standard.
However, a number of alternative proposals have now been submitted by IMO member states. Notably these include one submitted by Liberia, which places greater emphasis on trading of surplus units, while removing the idea of mandatory payments into a Net-Zero Fund. Japan has also put forward an alternative to compliance payments flowing into a centralized fund, which would allow shipowners to direct payments to projects of their own choice.
“Both the Liberia and Japan proposals are wrecking balls - aimed at the heart of shipping climate action, and will prevent necessary action, cause higher total costs, will not support a just and equitable transition, and ultimately will fail to meet the obligations the shipping sector faces”, said CSC President Leppert. “Both proposals are designed to placate those that do not think shipping climate action is needed, and serve only to undermine what has been achieved so far. Getting to the Net-Zero Framework is the result of multiple years of negotiations. The result is supported by a comprehensive impact assessment, and has the ability to deliver on the goals of the IMO GHG Strategy”.