Member states of the International Maritime Organization (IMO) are back at the negotiating table this week, aiming to narrow persistent disagreements over the proposed Net-Zero Framework (NZF) for shipping, according to Ship & Bunker.
The IMO’s Intersessional Working Group on Greenhouse Gas Emissions is meeting in London from September 1-4, Ship & Bunker reports, with further discussions planned later in the year and a second working group session scheduled for November.
Carbon Pricing Remains a Sticking Point
According to Ship & Bunker, one of the central unresolved issues is the framework’s proposed global carbon pricing mechanism, which could generate an estimated $10-15 billion annually. Governments have yet to agree on how those revenues would be allocated, including support for developing nations and the shipping sector’s transition to cleaner fuels, the report states.
Several countries have put forward differing proposals. Ship & Bunker reports that Tuvalu wants to strengthen the framework with a flat levy, while Australia, Canada, South Africa and the UK back proceeding with the NZF as currently agreed. Brazil has proposed delaying parts of the framework’s ambition while keeping the carbon price intact, per the report.
On the other side, Japan has called for weaker carbon-intensity targets and elimination of the carbon price altogether, according to Ship & Bunker. Liberia has proposed a more limited regulatory approach, which the Union of Greek Shipowners has endorsed as a pragmatic starting point for further talks. Norway, however, has opposed the Liberia-led proposal, arguing it would favor fossil LNG, Ship & Bunker notes.
Calls for Ambition and Certainty
Tuvalu’s Transport Minister Simon Kofe was quoted by Ship & Bunker saying the NZF represents years of negotiation and warned against weakening it further. “If we are to negotiate the NZF once again, it should only be to increase the climate ambition and not to weaken it further,” Kofe said, as reported by Ship & Bunker.
Meanwhile, ports and shipping companies have urged regulators to deliver clear rules to support investment in cleaner fuels and infrastructure. Ship & Bunker cites Port of Rotterdam CEO Boudewijn Siemons, who said the port “strongly encourages continued discussions about a global framework for greenhouse gas emissions in the maritime sector” to help meet the IMO’s 2023 GHG Strategy goals.
The report notes that April’s negotiations ended in a near-even split, with 55 countries supporting the NZF as it stands and 51 favoring substantial revisions.
Does This Matter to You?
The outcome of these talks could shape the regulatory and cost landscape for vessel operators, charterers, and fuel suppliers navigating the shift toward decarbonization. A finalized carbon pricing mechanism, once agreed, would directly affect voyage economics and fuel procurement decisions across the industry. Ports and infrastructure providers, as highlighted by Rotterdam’s comments in the Ship & Bunker report, are seeking regulatory clarity to guide investment in cleaner fuel infrastructure. Until member states reach consensus, uncertainty over the framework’s final shape and cost implications is likely to continue affecting long-term planning for stakeholders across the maritime supply chain.
Gulf Bunkering does not provide operational or security guidance. This article is for informational purposes only. Operators should consult flag state authorities, P&I clubs, and relevant advisories for decisions relating to transit planning.
Sources: Ship & Bunker
