The maritime industry is set for a significant transformation as the FuelEU Maritime regulations—part of the EU’s Fit for 55 initiative—come into effect on January 1, 2025. These regulations target greenhouse gas (GHG) emissions from commercial vessels over 5,000 GT, operating within the EU and European Economic Area (EEA), and represent a strong push toward a more sustainable future for shipping.
FuelEU Maritime: A Major Step Toward Greener Shipping
FuelEU Maritime focuses on reducing the GHG emission intensity of the energy used on ships through a “well-to-wake” approach. This includes emissions from the fuel extraction, production, and transportation, along with the vessel’s emissions while it’s in operation. By the end of 2024, shipping companies will need to submit vessel-specific monitoring plans. These will serve as the foundation for tracking and reporting GHG emissions starting in 2025.
The GHG intensity limits are calculated based on a 2020 reference value of 91.16 grams of CO2 equivalent per megajoule. Initially, the reduction target will be set at 2% in 2025, growing incrementally to 6% by 2030, 14.5% by 2040, and reaching an 80% reduction by 2050.
Onshore Power and Renewable Energy
Beyond onboard emissions, FuelEU Maritime introduces requirements for ships to connect to onshore power supplies (OPS) at major EU ports by 2030, which will help to eliminate emissions while vessels are docked. Furthermore, the use of renewable fuels, especially Renewable Fuels of Non-Biological Origin (RENBOs), will be incentivized through 2033 to support this green transition.
Why This Matters for the Maritime Industry
The introduction of FuelEU Maritime represents a significant shift in how vessels are managed, particularly in their fuel consumption and emissions. Non-compliance will result in penalties, and failure to comply for multiple consecutive years could even lead to vessels being banned from EU ports. Shipowners, charterers, and ship managers will need to address the regulations contractually in charter parties and ship management agreements.
VURDHAAN’s Commitment to Maritime Sustainability
At VURDHAAN, we are proud to be at the forefront of helping the maritime industry navigate this transition. Our expertise in sustainability practices within the maritime sector, including knowledge of initiatives like EU MRV, MARPOL, and FuelEU, allows us to guide companies in complying with these new regulations effectively. Our holistic approach ensures that your organization is well-prepared to meet both current and future environmental standards.
Through our three-step methodology—Support, Educate, and Implement—we provide tailored solutions that align with FuelEU Maritime goals. Whether it’s developing sustainability strategies or ensuring compliance with GHG monitoring and reporting, VURDHAAN works hand-in-hand with our clients to pave the way for a cleaner, more sustainable maritime industry.
Looking Ahead
FuelEU Maritime is just the beginning of a broader movement toward decarbonization in the shipping industry. With global maritime players increasingly prioritizing sustainability, these regulations will help the industry take vital steps toward reducing its environmental footprint. At VURDHAAN, we remain committed to supporting this evolution, ensuring that shipping companies can meet their obligations and contribute to a greener future.
As the 2025 deadline approaches, it is essential for maritime organizations to start preparing now. VURDHAAN stands ready to assist your company in meeting the challenges and opportunities presented by FuelEU Maritime. Together, we can steer toward a sustainable future for global shipping.