Green shipping premium raises cost questions

Pace of transition to clean fuels will depend on stakeholders’ readiness to pay green premium, conference speakers say

Green shipping will not be cheap, and its higher cost is likely to be borne by end-consumers and cargo owners, raising questions about a potential uneven level of interest in decarbonised shipping among stakeholders. Shipping is less intensive than other freight transport modes in terms of CO₂/km, making up about 3pc of total global CO₂ emissions. But this share is likely to increase as demand for shipping rises in line with global economic growth over the coming decades and as other sectors decarbonise. Shipping emissions could rise by as much as 50pc by 2050 if the industry takes no action, according to the International Maritime Organization. This has led to growing interest in low- or ze