IMO leads global shipping toward NetZero transition with new regulations

By Admin

10 Jun, 2025

The global shipping industry is entering a transformative era as the International Maritime Organization (IMO) unveils a bold regulatory framework aimed at decarbonizing maritime operations. Known as the "IMO Net-Zero Framework," the newly approved set of regulations takes a pivotal two-pronged approach: implementing a global fuel standard to limit greenhouse gas (GHG) fuel intensity and placing a price on emissions from ships. These measures are designed to steer the sector decisively toward a net-zero future.

A Dual Approach to Decarbonization

At the core of the IMO Net-Zero Framework are two key mechanisms:

1. Global Fuel Standard: This standard sets limits on the GHG intensity of marine fuels, encouraging the shift away from conventional fossil fuels.
   
   

2. Emissions Pricing: By introducing a cost on GHG emissions, the regulation incentivizes cleaner operations and penalizes polluting activities.
   
   

These initiatives send a strong demand signal to fuel producers while rewarding first movers shipping companies that take early action on zero- and low-emission technologies.

Urgent Need for Investment in Technology and Fuels

IMO Secretary-General Arsenio Dominguez, speaking at the Blue Economy Finance Forum in Monaco, emphasized the urgent requirement for significant investment in alternative fuels and advanced maritime technologies. The sector is on the brink of a wide-reaching transformation that will affect ships, ports, business models, supply chains, and workforce training.

With ships currently burning approximately 350 million tonnes of fuel oil annually, a complete overhaul is necessary. This includes scaling up production of ZNZ fuels (zero and near-zero emission fuels) and upgrading port infrastructure and bunkering systems to accommodate these sustainable fuels.

Momentum Builds with Early Movers

Positive developments are already underway. According to the World Shipping Council, more than 200 container ships are already capable of operating on ZNZ fuels, and 80% of new orders for container ships and vehicle carriers include hybrid or alternative fuel capabilities. These early adopters not only reduce their environmental footprint but also set a precedent, sharing best practices and shaping industry standards.

Training and Safety at the Forefront

This transition is not just about ships and fuel it also demands human adaptation. Nearly 500,000 seafarers will require upskilling by 2030 to safely handle new fuels and technologies. Furthermore, comprehensive safety protocols must be developed to ensure these energy sources are deployed without incident.

Review and Compliance

The IMO regulations, while approved in April and expected to be adopted in October, are mandatory for all ocean-going ships engaged in international trade, regardless of their national flag. The framework also integrates earlier IMO measures focused on energy-efficient ship design, operational best practices, and carbon intensity ratings.

To ensure continual progress, the regulations will be reviewed every five years, with emission thresholds becoming increasingly stringent over time.

A Global Call to Action

Mr. Dominguez made it clear: it’s time for the international community to shift from pledges to practical implementation. "We must focus on concrete actions and deliver on global commitments," he stated.

The IMO Net-Zero Framework marks a defining step toward decarbonizing maritime transport. By blending regulation with innovation and global cooperation, it paves the way for a cleaner, more sustainable future for shipping one that aligns with the climate goals of nations and the planet.