Navigating compliance in a rapidly evolving regulatory landscape

We help shipowners stay ahead of increasingly stringent environmental regulations, ensuring vessels remain compliant, commercially viable, and operationally efficient:

IMO Carbon Intensity Indicator (CII)

From 2025, enforcement of CII ratings has intensified. Ships rated D for three consecutive years, or E for one year, must submit a corrective action plan to improve their carbon intensity performance. We support clients with performance monitoring, data analysis, and operational strategies to maintain or improve CII ratings across diverse vessel types.

IMO Carbon Intensity Indicator (CII)

From 2025, enforcement of CII ratings has intensified. Ships rated D or E for three consecutive years must submit corrective action plans to improve their carbon intensity performance. We support clients with performance monitoring, data analysis, and operational strategies to maintain or improve CII ratings across diverse vessel types.

Energy Efficiency Existing Ship Index (EEXI)

All vessels must meet minimum energy efficiency thresholds based on design and propulsion characteristics. We help clients achieve compliance through technical assessments, retrofits (e.g., propulsion upgrades, hull modifications), and operational adjustments tailored to each vessel’s profile.

EU Emissions Trading System (EU ETS)

Shipping is included in the EU ETS from 2024, with a phased increase in the share of emissions that must be covered by allowances over subsequent years. Shipowners must purchase and surrender emissions allowances for voyages touching EU ports in line with that phase-in. We assist with emissions reporting, allowance management, and contractual clarity, especially under time charter arrangements where charterers are now legally obligated to reimburse EUA costs.

EU Emissions Trading System (EU ETS)

As of 2024, maritime transport is fully integrated into the EU ETS. From 2025, shipowners must purchase and surrender emissions allowances for voyages touching EU ports. We assist with emissions reporting, allowance management, and contractual clarity, especially under time charter arrangements where charterers are now legally obligated to reimburse EUA costs.

FuelEU Maritime Regulation

Effective from 2025, the FuelEU Maritime Regulation introduces binding targets to progressively reduce the lifecycle greenhouse gas (GHG) intensity of energy used onboard ships over 5,000 GT calling at EU ports, regardless of flag. FuelEU applies lifecycle (well-to-wake) GHG intensity limits to energy used on EU voyages and port calls, with different coverage for intra-EU and extra-EU voyages. The regulation mandates a 2% reduction in GHG intensity from a 2020 baseline, scaling up to 80% by 2050. It applies a well-to-wake approach, accounting for emissions from fuel production through to onboard combustion, and includes CO₂, methane, and nitrous oxide. The regulation is technology-neutral, allowing shipowners to choose their compliance pathways—be it through alternative fuels, energy efficiency measures, or clean propulsion technologies. From 2030, container and passenger ships at berth in major EU ports must also use onshore power or zero-emission alternatives. We assist clients with FuelEU Monitoring Plan development, emissions tracking, and strategic planning to meet compliance while supporting long-term decarbonisation goals.

Fuel Quality and Sulphur Cap (IMO 2020)

We continue to support compliance with the 0.5% sulphur cap through scrubber installations, low-sulphur fuel sourcing, and fuel switching protocols. Our experience spans open-loop, closed-loop, and hybrid exhaust gas cleaning systems.

Looking Ahead

The IMO’s revised GHG strategy targets net-zero emissions “by or around 2050,” with interim checkpoints in 2030 and 2040. We help clients prepare for future regulatory tightening by advising on fuel transitions, vessel upgrades, and ESG-aligned operational practices.

Contact Northern Marine Group >