ESC and Ecumene provide feedback for the European Maritime Transport Report

European Shippers’ Council and Ecumene Ventures provided its comments for the European Maritime Transport Emissions Report (EMTER). The first edition of the report will be published by the European Environment Agency (EEA) and the European Maritime Safety Agency (EMSA) in 2021. 

ESC and Ecumene believe that EMTER is an important initiative and an essential first step in creating a comprehensive framework for reducing the European maritime sector’s carbon oxide emissions.

Recognising the need to implement new regulatory mechanisms, ESC and Ecumene stress that these potential instruments must account for the entire supply chain. The regulators, at the European and global levels, need to consider the impact of the environmental legislation on the Beneficial Cargo Owners. Any carbon-related levy does not end at the carrier or vessel operator. These additional costs are ultimately passed on to shippers.

In 2015, responding to the IMO-mandated regulation on new requirements in the European Sulfur Emission Control Areas, ocean carriers implemented low-sulfur surcharges. This caused significant cost increases for the Beneficial Cargo Owners. The lack of transparency distorted the way the surcharges were calculated. As a result, European shippers found themselves at a disadvantage.

ESC and Ecumene believe that the flow of commerce is essential for a flourishing European economy. At the heart of any supply chain is the Beneficial Cargo Owner. Therefore, any carbon-reducing initiative design must include consideration of how it will affect shippers. Not having the shipper community’s perspective in writing environmental legislation will ultimately decrease European companies’ competitiveness in global trade.

ESC and Ecumene will continue representing shippers’ interests in the on-going emissions discussions with the relevant European regulatory bodies.