| 1. |
- Flodén, Jonas, 1974, et al.
(författare)
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Shipping in the EU emissions trading system: implications for mitigation, costs and modal split
- 2024
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Ingår i: Climate Policy. - Stockholm : IVL Svenska Miljöinstitutet. - 1752-7457 .- 1469-3062. ; In Press
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Tidskriftsartikel (refereegranskat)abstract
- EU recently decided to include shipping, meaning all intra-European shipping and 50% of extra-European voyages, in the EU Emissions Trading System (ETS) beginning in 2024. This article provides an early assessment of the impacts of the EU ETS on the shipping sector’s potential reductions in greenhouse gas emissions for different types of ships. It further examines selected mitigation measures and the impact on modals split and costs. The study employs a mixed-methods approach combining quantitative estimates (based on data from the EU monitoring, reporting and verification system) with qualitative data and information from interviews with key actors and from previous literature. This approach aims to provide a comprehensive understanding of the impacts of the EU ETS. The inclusion of shipping in the EU ETS is expected to introduce significant incentives to reduce emissions. We estimate that switching to bio-methanol at an emissions allowance price of €90–100/tCO2 will be cost-effective for a minor share of shipping segments (representing about 0.5-5% of all ships), whereas at a price above €150/tCO2 it could be cost-effective for a considerable share (potentially 75%) of ships. In the short term, the costs incurred by the EU ETS will be passed on to transport customers as a surcharge. The increased cost may, unless properly addressed, drive carbon leakage. Meanwhile, a modal shift away from shipping may occur in the roll-on, roll-off (RoRo) and roll-on passenger (RoPax) segments due to direct competition with road and rail transport and the relative ease of shifting to other modes of transport.
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| 2. |
- Lunde Hermansson, Anna, et al.
(författare)
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Strong economic incentives of ship scrubbers promoting pollution
- 2024
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Ingår i: Nature Sustainability. - Göteborg : IVL Svenska Miljöinstitutet. - 2398-9629.
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Tidskriftsartikel (refereegranskat)abstract
- In response to stricter regulations on ship air emissions, many shipowners have installed exhaust gas cleaning systems, known as scrubbers, allowing for use of cheap residual heavy fuel oil. Scrubbers produce large volumes of acidic and polluted water that is discharged to the sea. Due to environmental concerns, the use of scrubbers is being discussed within the International Maritime Organization. Real-world simulations of global scrubber-vessel activity, applying actual fuel costs and expenses related to scrubber operations, show that 51% of the global scrubber-fitted fleet reached economic break even by the end of 2022, with a surplus of €4.7 billion in 2019 euros. Within five years after installation, more than 95% of the ships with the most common scrubber systems reach break even. However, the marine ecotoxicity damage cost, from scrubber water discharge in the Baltic Sea Area 2014–2022, amounts to >€680 million in 2019 euros, showing that private economic interests come at the expense of marine environmental damage.
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| 3. |
- Lunde Hermansson, Anna, 1987, et al.
(författare)
-
Strong economic incentives of ship scrubbers promoting pollution
- 2024
-
Ingår i: Nature Sustainability. - Göteborg : IVL Svenska Miljöinstitutet. - 2398-9629. ; In Press
-
Tidskriftsartikel (refereegranskat)abstract
- In response to stricter regulations on ship air emissions, many shipowners have installed exhaust gas cleaning systems, known as scrubbers, allowing for use of cheap residual heavy fuel oil. Scrubbers produce large volumes of acidic and polluted water that is discharged to the sea. Due to environmental concerns, the use of scrubbers is being discussed within the International Maritime Organization. Real-world simulations of global scrubber-vessel activity, applying actual fuel costs and expenses related to scrubber operations, show that 51% of the global scrubber-fitted fleet reached economic break even by the end of 2022, with a surplus of €4.7 billion in 2019 euros. Within five years after installation, more than 95% of the ships with the most common scrubber systems reach break even. However, the marine ecotoxicity damage cost, from scrubber water discharge in the Baltic Sea Area 2014–2022, amounts to >€680 million in 2019 euros, showing that private economic interests come at the expense of marine environmental damage.
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| 4. |
- Parsmo, Rasmus, et al.
(författare)
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Environmental discounts for Swedish ports and fairways: A ship owner perspective
- 2024
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Ingår i: Marine Policy. - Göteborg : IVL Svenska Miljöinstitutet. - 0308-597X .- 1872-9460. ; 159, s. 105950-105950
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Tidskriftsartikel (refereegranskat)abstract
- Sweden has adopted environmental discounts for ships arriving at fairways and in some ports to encourage investment in measures to reduce shipping’s impact on climate change, air quality and marine environment. The present study investigates the impact of these discounts in 2020 on investment decisions made by ship-owners. As a starting point, this impact was assessed by comparing the potential annual benefits of the discounts with the annualized costs of retrofitting four selected abatement technologies.The results indicate that, while the port discounts are relatively small when compared to the costs of abatement, the fairway discounts could be significant for ships frequently calling at Swedish ports under specific conditions. However, we conclude that the discounts alone are insufficient to incentivize ship-owners to invest in abatement technologies for older ships. To improve the usefulness of these discounts, the design should incorporate a more precise internalization of abatement costs. This could be achieved by implementing individual discounts for different abatement strategies, establishing dedicated subsidies for high-cost innovative technologies, enhancing scoring systems, and by better matching the discount with other market-based policies internationally.
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