Global Shipping Emissions Levy Halted: US Influence Shakes International Climate Agreements

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Global Shipping Emissions Levy Halted: US Influence Shakes International Climate Agreements

Countries have recently stalled plans to hold shipping companies accountable for climate damage. This shift came after intense pressure from the U.S. government during a meeting in London, where nations were expected to finalize a small fee on greenhouse gas emissions from shipping.

Instead of moving forward, a majority voted to delay the emissions pricing mechanism for a year. This decision leaves room for the U.S. and its allies, including Russia and Saudi Arabia, to influence other countries against the charge. Arsenio Dominguez, the secretary-general of the International Maritime Organization (IMO), highlighted the need for a better approach to discussions, emphasizing the importance of uniting for effective climate action.

This emissions pricing plan aimed to encourage shipowners to use cleaner fuels and modernize their fleets. Although it initially passed in April with support from 63 countries, it now faces uncertainty due to the recent vote. The U.S. has been accused of strong-arming other nations by threatening tariffs and penalties if they backed the initiative.

Dr. Simon Bullock from the Tyndall Centre for Climate Change Research expressed frustration at how fossil fuel nations continue to obstruct vital climate agreements. He noted that while some shipping companies are eager for a greener approach, lobbying efforts have made this more difficult. In a notable move, some oil-dependent nations even offered incentives to countries that resisted the pricing plan.

The vote ended with 57 countries favoring a delay, while 49 opposed, and 21 abstained. This is a significant shift from April’s support. Vanuatu’s climate minister, Ralph Regenvanu, voiced the concerns of smaller nations, stating that the delay is unacceptable amidst climate urgency.

With the plan on hold, uncertainty looms over shipping companies and international trade. John Maggs from the Clean Shipping Coalition reiterated the squandered opportunity to tackle emissions linked to global shipping. He urged countries to intensify their efforts in the coming year to secure support for the pricing initiative.

Looking ahead, if the measure is eventually approved, it will take years before implementation. Experts estimate it could generate $10 billion annually, but much of this revenue would likely stay within the shipping sector for vessel upgrades and port modifications, rather than assisting poorer nations, which many had hoped for.

Currently, shipping contributes about 3% of global greenhouse gas emissions, with projections suggesting this could increase to 10% by mid-century. The IMO has been trying to address these emissions for two decades, yet progress remains slow.

Emotions ran high during this recent IMO meeting, reflecting lingering uncertainties about future discussions. As nations prepare for the upcoming COP30 climate summit in Brazil, there’s a pressing need to prioritize action on climate issues. Anaïs Rios from the advocacy group Seas at Risk urged countries to return to meetings with stronger support for emissions reductions, saying time is running out for effective climate solutions.



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