My thanks to Kitack Lim, Secretary-General, International Maritime Organization and Sveinung Rotevatn, Minister of Environment and Climate, Norway for making this Forum possible.
Friends, the world is still not catching up on the climate crisis. You all heard the Intergovernmental Panel on Climate Change (IPCC) warning. Climate impacts are intensifying and spreading around the world. The updated promises under the Paris Agreement still fall far short of what is needed to stay under at least 2 degrees Celsius.
To avoid a future no one wants, we all must do everything we can to get on top of the climate crisis. For the maritime sector, this means speeding up efforts to reduce greenhouse gas emissions. According to the UNEP Emissions Gap Report 2020, domestic and international shipping and aviation currently account for around 5 per cent of global CO2 emissions. More worrying, though, is that these emissions are growing.
The maritime sector can and must decarbonize. Which, by the way, offers unique business and development opportunities for countries, including developing and emerging economies. According to the World Bank, developing countries with large renewable energy resources could tap into an estimated US$ 1 trillion-plus future fuel market.
Innovation will be key to decarbonizing the sector: improving efficiency in fuel use, adopting new technologies and tightening up operations.
Companies need to adopt new business models, and stress innovation and climate-friendly investment across the value chain.
There are many options on the fuel front. Zero-carbon bunker fuels are expected to enter the global fleet and rapidly scale up from 2030 onwards. Biofuels and synthetic kerosene have lower carbon footprints than fossil hydrocarbon fuels, provided the biomass is sourced sustainably. CO2-free ammonia is an option, given that a ship’s design is less constrained than that of a plane in terms of volume, fuel mass and safety.
The sector also needs to maximize energy efficiency while rapidly transitioning away from fossil fuels. A good share of shipping-related greenhouse gas emissions could be eliminated by energy efficiency alone. This includes technical options and operational measures.
This forum is a great opportunity to discuss these and other ideas, but we must go quickly from ideas to action.
Frankly, time is not on our side. The IPCC told us there is a 50 per cent chance we will exceed 1.5 degrees Celsius within two decades.
So, governments need to think creatively and put in place policies, standards and incentives that reward low emissions action. This includes national emission reduction strategies and policies to promote technology and fuel efficiency.
Multi-stakeholder partnerships and collaboration can drive change. For example, the UNEP Partnership for Clean Fuels and Vehicles led the charge to phase out leaded fuels and is still working with countries to reduce air pollution. Such coordination and collaboration can overcome the industry’s fragmentation and ensure that R&D investments and their benefits are shared quickly among all stakeholders.
And this is an important point. We must keep in mind the needs of those countries and stakeholders that require the most support in this transition and do everything we can to get the technologies to where they are needed. The Climate Technology Center and Network, hosted by UNEP and UNIDO, is a good mechanism for matchmaking technology providers and those who need environmentally-sound technologies.
Distinguished delegates, friends,
This Forum, I believe, is an important step on the way to that ambition. It offers a unique platform to promote cooperation and facilitate the exchange of information and best practices on low-emissions shipping. In the next three days, I expect to hear about emerging innovation models, policy and financial solutions, and ways to make maritime sector decarbonization as fast and inclusive as possible. And in the months to follow, I expect to see these solutions put into practice.
I wish you all a productive forum.
Thank you.
Executive Director
