Op-Ed: Unlocking a sustainable blue economy

Matthieu de Tugny

By Matthieu de Tugny, Executive Vice President, Marine & Offshore, Bureau Veritas

Following the recent publication of Toward a Sustainable Blue Economy, Bureau Veritas Marine & Offshore’s Executive Vice President Matthieu de Tugny addresses the fundamental change that is required if the maritime industry is to meet its decarbonization objectives.

The maritime industry finds itself at a crossroads. On the one hand, the industry is experiencing a sustained period of growth, with over 12 billion tons of cargo transported by sea in 2023 – more than 2.6 times the amount registered in 1995—whilst Clarksons’ newbuilding price index reflects a 45% increase in new build orders since the start of 2021.

On the other hand, the industry is also impacted by significant geopolitical volatility, causing sustained disruption to maritime operations, not to mention increased safety risks to seafarers navigating these regions. Furthermore, the uncertain policy landscape is reshaping traditional trade dynamics at a time when shipowners and operators are under significant regulatory pressure to reduce their carbon emissions, a pressure that is only set to increase.

Following the outcomes of MEPC 83, the maritime industry awaits the likely introduction of the IMO’s Net Zero Framework in October, which establishes mandatory marine fuel standards and GHG emissions pricing for shipping. These measures join established regional regulations such as FuelEU Maritime and the EU Emissions Trading System (EU ETS), creating escalating compliance costs. Recent reports suggest that EU ETS alone will cost the industry approximately $6B in 2025, rising to an estimated $51B by 2030. The difficulty in managing the complexity of this regulatory landscape is evident. According to recent reports, less than 40% of shipping companies met the deadline for their first year of verified emissions reporting under EU ETS, when the regulation was the least onerous that it is ever going to be.

The challenge is clear, but the solution is complex. If the maritime industry is to meet the net-zero GHG target by 2050, systemic transformation is required in terms of how we finance, fuel and operate the global fleet. Financial institutions that underpin the shipping industry must embrace a greater emphasis on green financing models that directly align capital with climate performance. Furthermore, if the current alternative fuels “chicken-and-egg” dilemma is to be overcome, the continued establishment of green corridors poses a viable means of synchronizing the development of ships, ports, fuels, and regulatory policies to support zero-emission trade. As a leading classification society, Bureau Veritas Marine & Offshore is working in a risk capacity alongside Fortescue, K Line, and the Australian Renewable Energy Agency to support the development of the Australia–Japan iron ore corridor. The route is built around green ammonia with fuel production in Pilbara, with bunkering facilities in Port Hedland and end-use in Kobe.

From an operational perspective, initiatives such as the Blue Visby Solution, seek to address the historic inefficiencies in maritime practices such as “sail fast, then wait.” This multilateral platform, developed by the Blue Visby Consortium, utilizes a unique algorithm to provide participating vessels with optimized arrival times that allow them to slow steam. This can reduce shipping emissions by approximately 15% and, based on 2019 figures, has the potential to remove approximately 45 million tonnes of CO2 across the tanker and bulker fleets.

As part of this fundamental transformation, the role of classification societies is also changing. Whilst maintaining the traditional role of class as custodians of change within the industry, BV is increasingly acting as an enabler of industry transition throughout the maritime value chain. Bringing its extensive industry expertise to bear, BV is a trusted and impartial advisor that facilitates integrating energy-saving devices and operational measures to cut fuel consumption, whilst providing modeling scenarios and validated data to support evolving financing schemes that will accelerate the development of advanced zero-carbon fueled vessels.

The maritime industry should be proud of the significant progress made in recent years in pursuing its net zero objectives. But now is not the time for inaction; only through pragmatic yet decisive measures, combined with collaboration throughout the global value chain, will the maritime industry hope to unlock the significant potential of a truly sustainable blue economy.