Shipping Push for World-First CO2 Charge Stalls at IMO Talks
- Plan for a tiny levy on ships’ marine fuel deferred at the IMO
- Money raised would be used to fund R&D of low carbon shipping
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Shipping’s global regulator signaled that a tiny CO2-based charge on vessels’ fuel consumption will not be approved at a meeting this week, underscoring the challenge facing the industry in its bid to decarbonize.
While the proposed price is low, the levy is significant because it would be the first ever mandatory, global “fee-based” carbon price, according to the World Bank. The plan was discussed at international talks on Wednesday and, with many countries raising concerns, provisionally deferred to a future meeting.