The European Commission has outlined changes to the EU Emissions Trading System (EU ETS) that could see revenues from the carbon market deployed to help shipowners finance transitions to cleaner marine fuels.
Under the proposed revision put forward in July, up to 110 million emission allowances would be ring-fenced between 2028 and 2040 for a new support framework, designated as the Sustainable Maritime Alternative initiative, according to reporting by Hellenic Shipping News Worldwide.
The regulatory mechanism is intended to subsidise the uptake of low-carbon bunkers, though the allocation framework offers unequal levels of financial assistance, targeting preferential backing towards e-fuels and bio-LNG over other compliance pathways.