Shipping companies to begin collecting their carbon emission data this weekend

Shipping companies to begin collecting their carbon emission data this weekend

Despite criticism against the new CII rules, experts believe they will encourage the use of new sustainable technologies

The implementation of the Carbon Intensity Indicator (CII) rules will begin this weekend. This means that shipping companies will have to start collecting data about their carbon emissions this Sunday. The data collected throughout this year will be submitted to the International Maritime Organisation (IMO), which will use it to evaluate ships based on their emissions. A score from A to E will be given to the ships, with A representing the highest efficiency rating and E the lowest. Shipping companies are expected to receive the evaluation results no later than 31 March 2024. Multiple stakeholders criticised the CII calculation method saying it penalises ships at random. “As many across academia and industry have said, the calculation methodology (…) should be revised to avoid unintended consequences that would distort the performance of a ship that spends a lot of time in port,” said MSC in an email communicated to the media. Similarly, German carrier Hapag-Lloyd expressed a negative view of the IMO’s chosen method of calculation. The ship that would receive the lowest CII rate, according to the adopted rules, would be a ship lying still at a port emitting almost zero carbon, Hapag-Lloyd told Shipping Watch. During its latest convention, the IMO’s Marine Environment Protection Committee (MEPC-79) announced its intention to add corrections to this rule in the course of 2023. However, the collection of data will still go on this year. Also entering into force this month is the Energy Efficiency Existing Ship Index (EEXI), an assessment evaluating the ship’s technical design and how energy-efficient it is. The EEXI has to be obtained annually once its implementation comes into force, not unlike the emission sticker we obtain for our vehicles. Despite the criticism voiced against the new rules, industry experts believe the rules will encourage shipping companies and carriers to increase their investment in sustainable solutions. This does not apply to ship owners only. Freight forwarders are also paying close attention to the emissions of their shipments, helping customers reduce their carbon footprint along the way. Kuehne+Nagel is more than motivated to support the reduction of carbon emissions in the supply chains of its customers. You can achieve your environmental targets by using our sustainable and innovative supply chain solutions that both reduce and offset the carbon footprint of your shipments. Contact your local Kuehne+Nagel office to find out more.
Source: Shipping Watch, Trade Winds, DNV