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Ultimately, major decarbonizing will mean an overhaul of shipping fuel, said Dominguez, a point industry leaders agree on. Currently, the shipping industry is responsible for about 3% of global greenhouse gas emissions. Their total emissions are expected to go up sharply in future decades unless major changes are made.
Starting this year, large ships coming in and out of European ports pay taxes on their carbon dioxide emissions. In 2026, they will also pay for emissions of the greenhouse gases methane and nitrous oxide. Some industry leaders hope that a carbon levy from the IMO, which would effectively be the world’s first global carbon tax, could allow shipping companies to simply pay one carbon tax, instead of taxes in multiple jurisdictions.
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