Outlook 2024: Freight sector grapples with regulations and geopolitics
EU ETS extension is the latest change for the sector
Freight is a vital but often overlooked component of the oil and product markets. The sector will be subject to additional EU emissions regulation from the start of 2024, while continuing to grapple with the ongoing rerouting of the global energy trade. And with so many significant energy exporting nations under Western sanctions, the shipping industry is central in both the enforcement and attempted evasion of those rules. In January, the EU will extend its emissions trading system (EU ETS) to cover the CO₂ emitted by “all large ships”—specifically vessels with a gross tonnage of 5,000t or more, which includes all classes of tankers—“entering EU ports, regardless of the flag they fly”. The
Also in this section
26 July 2024
Oil majors play it safe amid unfavourable terms in latest oil and gas licensing bid rounds allowing Chinese low-ball moves
25 July 2024
Despite huge efforts by India’s government to accelerate crude production, India’s dependency shows no sign of easing
24 July 2024
Diesel and jet fuel supplies face a timebomb in just four years, and even gasoline may not be immune
23 July 2024
Rosneft’s Arctic megaproject is happening despite sanctions, a lack of foreign investment and OPEC+ restrictions. But it will take a long time for its colossal potential to be realised