The International Chamber of Shipping has thrown its full support behind the International Maritime Organization’s landmark Net-Zero Framework, which sets the stage for the world’s first global emissions pricing system targeting an entire industry.
Adopted in principle by IMO member states in April, the framework is seen as a critical step toward decarbonizing international shipping.
Described as a historic milestone, the NZF lays the groundwork for carbon pricing, compliance mechanisms, and future investments in green fuels and technologies.
However, shipowners particularly those operating small to mid-sized fleets are expressing concern over the potential complexity and cost of implementation.
While much attention has been paid to penalties for emissions, ICS stresses that clear, reliable incentives will be equally essential to drive the industry’s shift toward cleaner fuels.
These incentives, or carrots, are seen as vital for encouraging fuel producers to invest in the production and infrastructure needed to meet climate targets.
Thomas A. Kazakos, Secretary General of ICS, commented that the IMO needs to formally adopt the Net Zero Framework in October to send a clear signal to industry and provide the incentive needed to produce these cleaner fuels.
Kazakos also emphasized the need for global alignment, urging regional actors such as the European Union to support a unified international framework rather than pursuing fragmented or unilateral systems like the EU Emissions Trading Scheme.
To bolster its position, ICS has submitted proposals to the IMO advocating for stronger language and more explicit obligations in the NZF. Among its recommendations is replacing ambiguous terms like “may” with “shall” to ensure a stronger and more predictable policy signal to the market.
ICS has also responded to the European Commission’s public consultation, urging it to phase out the EU ETS in favor of the IMO’s globally coordinated NZF once it is officially adopted.
