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illuminem summarises for you the essential news of the day. Read the full piece on The Associated Press or enjoy below:
🗞️ Driving the news: This week, member states of the International Maritime Organization (IMO) are negotiating what could become the world’s first global carbon tax on shipping emissions
• Meeting in London, the IMO’s Marine Environment Protection Committee is reviewing proposals to introduce a flat-rate levy on greenhouse gas emissions from vessels and to establish a new marine fuel standard—both aimed at achieving net-zero emissions for the maritime sector by around 2050
🔭 The context: Shipping currently accounts for roughly 3% of global emissions and remains one of the few major sectors without a pricing mechanism for carbon
• In 2023, IMO nations agreed on a climate strategy, but stopped short of binding targets for 2050. Now, the challenge is to translate those ambitions into enforceable regulations
• The proposals being discussed represent a turning point in global climate diplomacy for a sector that has historically operated outside domestic emission frameworks
🌍 Why it matters for the planet: A global carbon levy could significantly accelerate the adoption of zero-emission fuels like green methanol, ammonia, and hydrogen, currently far costlier than traditional heavy fuel oil
• It would also ensure that shipping aligns with international climate goals and does not become a loophole in decarbonisation efforts
• Importantly, revenue from such a levy could be redirected to support climate-vulnerable nations and help modernise fleets in the Global South, ensuring a just transition
⏭️ What's next: Should the committee reach consensus this week, final text for the carbon pricing and fuel standards could be adopted in October 2025, with implementation by 2027
• Negotiations remain divided: over 60 countries, led by Pacific Island states, favour a flat-rate levy, while others—such as China, Brazil, Saudi Arabia, and South Africa—prefer a credit trading system
• A compromise may emerge, but stakeholders warn that anything less than a universal, ambitious levy could undermine the IMO’s climate credibility and delay vital infrastructure investment
💬 One quote: “For the first time, we will have, hopefully, an effective global framework tackling this international issue.” - Emma Fenton of Opportunity Green
📈 One stat: International shipping is responsible for approximately 3% of global greenhouse gas emissions, yet remains largely unregulated under national climate policies
See here detailed sustainability performance of companies like Maersk, and Hapag-Lloyd
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