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The Lloyd’s List Podcast: How to comply with decarbonisation rules even before they have been set

Date:08-09-2021

Listen to the latest edition of the Lloyd’s List’s weekly podcast — your free weekly briefing on the stories shaping shipping

Perhaps the biggest conundrum in shipping is how shipowners can order new ships when they don’t know which fuel will be specified as environmentally sound and safe for the crew, and widely available. Moreover, how can they comply with regulations that won’t be in place until 2030 or 2040? The answer, says DNV in its Maritime Forecast 2050, is to work with class and other partners on a step-by-step approach to ensure compliance at each stage. The Lloyd’s List Podcast explains how this week as Knut Ørbeck-Nilssen, chief executive officer of DNV Maritime, joins chief correspondent Richard Clayton to unpack some of the elements in the Maritime Forecast

SHIPPING’S carbon neutral ambition is well understood, although a great deal of heat is being generated in how to get there. Increasingly, the pace of change is being determined by regional and national lawmakers, by public opinion, and by cargo owners who demand more and more.

What should the poor ship owner do not only to comply with what is being required today, but also to ensure compliance with all the regulatory hurdles that are likely to be erected in the next 30 years?

DNV has created a decarbonisation stairway that takes into account the many expectations placed on shipping. The class society’s Maritime Forecast 2050 explains the issues of access to green finance, newbuilding design parameters, and consumer demands.

In this week’s Lloyd’s List podcast, Knut Ørbeck-Nilssen, chief executive officer of DNV Maritime, joins chief correspondent Richard Clayton to unpack some of the elements in the Maritime Forecast. 

He warns that the industry will need to look beyond traditional ship finance and tap into the wider green finance sector to overcome the barrier of access to capital. Further, Mr Ørbeck-Nilssen predicts that a lack of infrastructure for the bunkering of alternative fuels will restrict the momentum towards a greener future.

The DNV Maritime Forecast is the latest in a series of outlook reports that have become increasingly practical year by year. With last month’s warning from the Intergovernmental Panel on Climate Change of a ‘code red for humanity’ likely to be picked up by the COP26 climate change conference in Glasgow in November, this Maritime Forecast is timely.

“Over the past two years, we have seen a tremendous increase in the awareness around alternative fuels. This is now on every shipowners’ agenda,” says Mr Ørbeck-Nilssen, “not just for the technical department but all the way up to the principals and the boardroom.”