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ARTICLE · 12 AUGUST 2021

Decarbonisation And Shipping: EU Emissions Trading Scheme - Update

This article updates our previous insight article of 15 December 2020 relating to the EU Emissions Trading Scheme with commentary on the proposals brought forward by the EU on 14 July 2021.

United KingdomTransport

On 14 July 2021, the European Commission published a package of proposals aimed at reducing the EU's net greenhouse gas emissions by 55% by 2030, compared with 1990 levels. Included in the 'Fit for 55' package was a revised proposal for including carbon dioxide emissions from maritime transport within the EU Emissions Trading Scheme, which replaces the previous proposal adopted by the European Parliament in September 2020.

The Fit for 55 proposal, in relation to maritime transport's inclusion in the existing EU Emissions Trading Scheme, includes a new directive which amends:

  1. Directive 2003/87/EC (the ETS Directive), which is the piece of EU legislation which governs the EU ETS; and

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