The Clean Maritime Fuels Platform, members of which include European Community of Shipowners Associations (ECSA), the eFuel Alliance, EWABA (A European association for waste-based and bio-fuels), Hydrogen Europe, FuelsEurope, and the Methanol Institute, has requested that EU policymakers create the regulatory conditions to unlock investments in the production of clean maritime fuels.
The Draghi Report has estimated that €40 bn in annual investments will be needed between 2031 and 2050 for the energy transition of shipping. Building a supply chain for clean fuels in Europe is seen as a priority for the industry to meet its decarbonisation targets and for Europe to achieve its climate targets.
Clean Maritime Fuels Platform supports the report’s conclusions regarding the need to:
- De-risk investments in renewable and low carbon fuels, for example via schemes based on Contracts for Difference and auctions as a service.
- Launch dedicated sectoral calls under the Innovation Fund for the first deployment of decarbonisation solutions. The €20m EU ETS allowances allocated to the decarbonisation of the maritime sector until 2030 should be used as soon as possible.
- Expand existing funding mechanisms for refuelling and recharging infrastructure.
- Start building a supply chain for renewable and low-carbon fuels in the EU.
European manufacturing capacity should match demand for clean shipping fuels in Europe as much as possible, in line with the benchmark of the Net-Zero Industry Act.
Sotiris Raptis, ECSA Secretary General, said: “The Draghi Report has recognised the global leadership of European shipping and the need to remain internationally competitive. In order to meet our targets, we need clean fuels available in the market in sufficient quantities and at an affordable price. To ensure that the shipping energy transition happen, the EU should de-risk investment in renewable and low carbon fuels and start building a supply chain for renewable and low-carbon fuels in the EU. Moreover, existing funding mechanisms for refuelling infrastructure should be expanded to better ensure the security of supply of clean fuels for shipping.”
Liana Gouta, Director General FuelsEurope said: “Mr. Draghi’s report acknowledges the strategic role of renewable and low-carbon fuels, particularly in decarbonising all transport modes. His report highlights the EU’s leadership in this area and calls for a truly technology-neutral approach. We, European Fuel Manufacturers, believe the right EU policy framework and subsidies can create a robust business case to attract private investments and avoid de-industrialization, help the EU successfully deliver climate neutrality by 2050, ensure a secure supply of energy, and foster innovative, EU-based, globally competitive industry for the welfare of EU economies and citizens.”
Ralf Diemer, MD eFuel Alliance said: “By linking the FuelEU Maritime with the supply mandates of the Renewable Energy Directive and abolishing stringent eligibility criteria, we can gradually increase eFuel capacities in the maritime sector.”
Angel Alvarez Alberdi, EWABA Secretary General said: “The following decade will lead to a fundamental shift in the European maritime fuel supply structure owing to the introduction of new regulations. The Draghi report places renewable and low-carbon fuels at the forefront of decarbonisation for the hard-to-abate maritime sector, and our industry is fully ready to support European shipowners to achieve this transition in a sustainable and cost-efficient way.”
Daniel Fraile, Chief Policy Officer, Hydrogen Europe said: “It is crucial to create a fertile environment for companies to invest in the production of competitive clean shipping fuels in Europe. Building on the Net-Zero Industry Act and the recommendations of the Draghi report, policymakers need to focus on to the importance of building a robust European supply chain for hydrogen and hydrogen derivatives in the maritime sector.”
R Tim Eestermans, MD Europe, Methanol Institute concluded: “In the spirit of the Draghi-report, and for stimulating public and private investments, the EU should ensure that its regulations are in line with global developments, also in the maritime domain and notably with the IMO.”
