Agenda item 4 Prevention of air pollution from ships. Marpol Annex VI

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1 Agenda item 4 Prevention of air pollution from ships Marpol Annex VI MEPC 59/4/19 (IMarEST): highlights the need for a correction to an error of intent with regard to the monitoring of wash water discharge at sea whenever an Exhaust Gas Cleaning System is in operation and the discharge criteria for at sea operations as found in section 10 of the 2009 Guidelines for Exhaust Gas Cleaning Systems set forth under resolution MEPC.184 (59). MEPC 60/4/32 (IACS): proposes actions to be taken regarding the Supplement to the International Air Pollution Prevention (IAPP) Certificate, as prescribed in resolution MEPC.176 (58), so as to document, in a precise and transparent manner, those ships which have been certified to operate in an emission control area. MEPC 60/4/25 (Norway): is submitted in order to ensure robust and uniform application of regulation 4 of MARPOL Annex VI. The document identifies issues to be solved from a technical and operational point of view as well as from a legal and enforcement point of view. MEPC 60/4/27 (Secretariat): reports on a possible uncertainty in the shipping industry related to correct procedures when purchasing certain refrigerant gases for shipboard use, possibly resulting in problems for ships in need of purchasing such gases in foreign ports and a potential gap in data collection and reporting. MEPC 60/4/38 (Norway): presents a technology to reduce the formation and emissions of VOC from crude oil tankers, and proposes to issue the information as a separate circular with the necessary references to MEPC.1/Circ.680. MEPC 60/4/42 (ISO): informs that the ISO committee Classification and Specification of Marine Fuels is currently going through the final stages of the revision of ISO 8217 Specifications of marine fuels. That revision has taken into account the issues raised by IMO s Marine Environment Protection Committee and is on course to be completed, as requested by the Committee, prior to 1 July GHG operational/technical measures/instruments MEPC 60/4 (Secretariat): provides a summary of matters and documents kept in abeyance from the last session of the Committee. The documents summarized, together with submission to this session, will be the basis for the continued debate of certain aspects of the consideration of an efficient global control regime for greenhouse gas emissions from international shipping. 1

2 MEPC 60/4/1 (Finland and Sweden): is to clarify the definitions of ship types, the use of ice class correction factors for power fj and capacity fi and also to clarify the use of the limits for the ice class factors for power fj and capacity fi. MEPC 60/4/2 (CLIA, IACS, ICS and INTERFERRY): proposes draft interim guidelines for the validation of the electric power table for the assessment of PAE to be used within the framework of the EEDI. MEPC 60/4/3 (INTERTANKO): provides information on the impact of the application of the method of calculation of the Energy Efficiency Design Index for conventionally powered tankers and the appropriateness of the proposed equation for the derivation of the EEDI for individual ships. MEPC 60/4/4 (INTERTANKO): provides information on the impact of the application of the method of calculation of the Energy Efficiency Design Index for specially built dual-engine shuttle tankers and suggests a solution by way of a ship specific design element correction factor. MEPC 60/4/5 (Japan): provides a report on the EEDI verification trials conducted for two actual ships in accordance with the Interim Guidelines on Voluntary Verification of the Energy Efficiency Design Index. It also identified, based on the trial results, the issues in the Interim Guidelines that need further consideration and improvement, and provided insights on those issues, including suggestions on possible amendments to the Interim Guidelines. MEPC 60/4/6 (Denmark): substantiates the split of the original group of ro-ro cargo ships into vehicle carriers, volume carriers and weight carriers. It is proposed that volume carriers should be characterized by a deadweight per lane metre of 2 t/m or above but below 4 t/m, and that weight carriers should be characterized by a deadweight per lane metre of 4 t/m or above but below 8 t/m. Satisfactory baselines are calculated for vehicle carriers and volume carriers, and the Committee is invited to consider how to proceed concerning weight carriers. MEPC 60/4/7 (Denmark and Japan): propose guidelines for calculating baselines for use with the energy efficiency design index (EEDI) framework and for documenting the selection of the input data needed in a transparent and robust way. Further, it is proposed to include refrigerated cargo carriers as a special category of ship types in the interim guidelines on the method of calculation of the energy efficiency design index for new ships (MEPC.1/Circ.681). MEPC 60/4/11 (Euromot): is intended to facilitate discussions on the impact of the Selective Catalytic Reduction (SCR) operation on the Energy Efficiency Design Index (EEDI) and elaborates on adjusting elements of the EEDI, such as correction factors. MEPC 60/4/14 (Denmark, Marshall Islands and WSC): proposes a recalculated baseline for container vessels to be used within the framework of the EEDI. MEPC 60/4/15 (Greece): provides some comments on the formula used to define the baseline for the Energy Efficiency Design Index (EEDI). MEPC 60/4/16 (Greece): explains the position of Greece as regards life cycle aspects of the Energy Efficiency Design Index (EEDI). 2

3 MEPC 60/4/17 (Greece): presents some concerns in the application of the Energy Efficiency Design Index (EEDI) in that it may favour underpowered ships, which emit more CO2 for the same speed. MEPC 60/4/18 (Republic of Korea): proposes an EEDI calculation method for LNG carriers with diesel-electric propulsion systems, for which dual fuel diesel engines are installed. MEPC 60/4/20 (INTERFERRY): is submitted to support discussions on the Energy Efficiency Design Index (EEDI) with regard to Safety Aspects such as Redundant Propulsion Systems. MEPC 60/4/30 (China): provides some considerations and proposals on the establishment of EEDI baselines according to the outcome of considerations of EEDI baseline calculation at MEPC 59. MEPC 60/4/31 (China): provides comments and proposals on the interim Guidelines on the method of calculation of the energy efficiency design index for new ships by MEPC.1/Circ.681 and the interim Guidelines for voluntary verification of EEDI by MEPC.1/Circ.682. MEPC 60/4/33 (IMarEST): provides information on the development of the baseline curves for the Energy Efficiency Design Index, as it applies to tankers, containerships, and LNG carriers. MEPC 60/4/34 (IMarEST): provides information on how design characteristics such as design speed, lightship, and the load line draught, influence the attained EEDI. Tankers, containerships and LNG carriers are analysed. MEPC 60/4/35 (Japan, Norway and US): propose a draft text for the application of mandatory technical measures to improve the energy efficiency of ships and present the concept for establishment of the required EEDI reduction rates. The document also includes a provision for the inclusion of the SEEMP in the proposed framework. MEPC 60/4/36 (Japan): explains the analytical methods of setting the values of reduction rates of the required EEDI, based on extensive case studies on the envisaged efficiency improvement for new ships. (substantiates MEPC 60/4/35). MEPC 60/4/44 (SIGGTO): contains the results of a data gathering exercise to aid assessment of the application of the Energy Efficiency Design Index (EEDI) to ships carrying liquefied gases in bulk. MEPC 60/4/45 (ITTC): provides comments on the proposal in document MEPC 60/4/35 to make the Energy Efficiency Design Index for new ships mandatory and proposes a verification and approval process. This document also invites the Committee to consider involving ITTC Member Organizations in this process. MEPC 60/4/47 (EC and various EU MS): informs that the European Commission, in cooperation with the European Maritime Safety Agency (EMSA), conducted a study on tests and trials of the Energy Efficiency Design Index as developed by IMO. The study provides test results and an overview of technological options to do reduce the attained EEDI. 3

4 MEPC 60/4/48 (INTERFERRY and CESA): comments on the outcome of performed tests and trials in accordance with the grouping of ro-ro ships in vehicle carriers, volume carriers and weight carriers. The performed grouping reveals that only vehicle carriers represent a consistent group of comparable ships as standard ship types (e.g., bulk carriers and tankers). It is therefore concluded that further refinement and improvement for a reasonable design assessment of ro-ro cargo ships should be required. MEPC 60/4/52 (INTERTANKO): provides the Committee with information relating to the completion of a guidance document for oil and chemical tanker operators on the implementation of the Ship Energy Efficiency Management Plan (SEEMP). MEPC 60/4/56 (CLIA): responds to the request to submit comments and further proposals to the next session (MEPC 59/24, paragraph 4.137) and provides an update on the activity of CLIA in this regard. MEPC 60/INF. 6 (Finland and Sweden): investigates the impact of the ice-class correction factors fi and fj on EEDI values of different ship types in various ice classes. As the aim of these factors is to make the average ice-class ships comparable to similar open water ships, the corrected EEDI values of ice-class ships should come closer to the baseline. At the same time no trend of being consistently above or below the baseline should occur. The calculations in this document verify that this is the case. MEPC 60/INF. 23 (Secretariat): reports the IMO Secretariat has engaged the World Maritime University (WMU) to develop a draft model course for energy efficient operation of ships that will be submitted to MEPC 61 for comments. GHG market-based measures/instruments MEPC 60/4/8 (Cyprus, Denmark, Marshall Islands, Nigeria and IPTA): elaborates further on the proposed International Fund for Greenhouse Gas Emissions from Ships. The document (1) considers proposed changes of the basic proposal in MEPC 59/4/5; (2) examines central issues; (3) elaborates on the allocation of revenues for climate purposes in developing countries; (4) carries out preliminary evaluations called for at MEPC 59; and (5) examines compliance with the nine fundamental principles. MEPC 60/4/9 (Secretariat): reports on the United Nations Climate Change Conference 2009 COP 15 and CMP 5 held in Copenhagen, Denmark from 7 to 18 December 2009, tasked with agreeing on a post-2012 climate change treaty. MEPC 60/4/10 (Bahamas): discusses market-based instruments for international shipping and argues that, as a penalty on trade, they are contrary to the best interests of the developing States. Further, proportionality must be the key to any measures proposed for international shipping, especially if such measures have a financial component. MEPC 60/4/12 (US): provides additional details on the proposal outlined in document MEPC 59/4/48 (United States), which described a new approach to address international maritime GHG emissions by establishing efficiency index standards for existing ships and the trading of efficiency credits as an additional means for achieving compliance. 4

5 MEPC 60/4/13 (ICS): informs ICS has been working on criteria for assessing market-based instruments (MBIs) for some time. This document presents some of the criteria that should be used in the analysis of MBIs and proposes some building blocks for a system that appears to meet the various requirements of the different industry sectors. MEPC 60/4/21 (IPPIC): observes that the use of effective anti-fouling paints can considerably curtail the emissions of greenhouse gases (GHG) from a ship. A fouled hull leads to increased frictional resistance which results in excess fuel consumption and GHG emissions. Improved ship designs alone will not reduce the importance of keeping vessels fouling free. Use of the most effective anti-fouling systems with proper hull maintenance can therefore offer a viable contribution to abating GHG emissions from shipping. MEPC 60/4/22 (Norway): presents a detailed outline of a Global Emission Trading System (ETS) for International Shipping. Norway takes the view that an ETS for shipping is the most suitable market-based mechanism for shipping in a global response to climate change. The document presents how the mechanism can combine precise emission reductions with well tested principles for regulating shipping and also address concerns raised by developing countries. It is underlined in the document that possible disagreement on the approach taken on the various issues in annex 2 should not necessarily lead to the conclusion that an ETS is not desirable for shipping. If concerns are raised, such concerns may be accommodated by modifying or changing the design of the ETS presented in annex 2. MEPC 60/4/23 (Norway): presents alternative emission caps for international shipping in 2020 and 2030 based on four different ambition levels and two IPCC scenarios (A1B and B2). MEPC 60/4/26 (UK): sets out in more detail how an emissions trading system for international shipping might work in practice. MEPC 60/4/28 (WSC): offers views on the question of establishing an emissions "cap" for maritime shipping. MEPC 60/4/37 (Japan): provides details of the Leveraged Incentive Scheme, which is a modified version of the International GHG Fund proposed by Denmark (MEPC 59/4/5); the purpose of the scheme is to accelerate energy efficiency improvement of ships through strong economic incentives. MEPC 60/4/39 (WSC): offers views on how to address the challenges to reaching agreement on a global regime and sets forth a proposal to establish a Vessel Efficiency System or VES. MEPC 60/4/40 (Jamaica): proposes that via a global agreement under IMO, all countries would be authorized to allow their ports to levy a globally uniform emissions charge on all vessels calling at their ports. The charge would be staggered higher for heavier and dirtier fuels and lower for cleaner fuels such as natural gas and structured in such a way to achieve the global reduction targets for greenhouse gases. MEPC 60/4/41 (France): builds on the documents submitted previously by France on the creation of an Emissions Trading System for international shipping, and provides further details, in particular on the auctioning procedures which could be implemented to sell shipping allowances. MEPC 60/4/43 (France, Germany, Norway and UK): presents common features on documents submitted on a Global Emission Trading System (ETS) for International Shipping. All the co- 5

6 sponsors believe that an emissions trading system for international shipping would respond to the need for precise emission control through the establishment of a cap on the total emissions from the international shipping sector (after emissions trading with other sectors). MEPC 60/4/46 (OCIMF and INTERTANKO): comments on document MEPC 60/4/9, outcome of the United Nations Climate Change Conference held in Copenhagen, Denmark from 7 to 18 December 2009, note by the Secretariat, and outlines one activity that the shipping industry is involved in to reduce actual emissions from oil tankers, pursuant to paragraphs 7, 20, and paragraphs 1 and 7 of the annex to document MEPC 60/4/9. MEPC 60/4/49 (Greece): provides comments on the joint submission of Cyprus, Denmark, Marshall Islands, Nigeria and IPTA (MEPC 60/4/8) and presents the views of Greece regarding the possible establishment by IMO of a market-based instrument for the reduction of CO2 emissions from ships and expresses its preference for the International Fund for Greenhouse Gas Emissions from Ships, as presented in that document. MEPC 60/4/50 (OCIMF): considers the relative advantages and disadvantages of four proposals for a market-based instrument: an Emission Trading Scheme, the International Fund for Greenhouse Gas Emissions from Ships, the Leveraged Incentive Scheme and the Efficiency Standards Index, which have been further developed subsequent to COP 15. MEPC 60/4/51 (Japan): provides comments on the joint submission MEPC 60/4/8, by Cyprus, Denmark, Marshall Islands, Nigeria and the International Parcel Tankers Association (IPTA) An International Fund for Greenhouse Gas emissions from ships. MEPC 60/4/53 (WWF and Greenpeace): comments on document MEPC 60/4/9, and contains the views of its co-sponsors on the outcome of COP 15 and its implications for the work of MEPC 60 and MEPC 61. Although there was no formal decision on emissions from international shipping at COP 15, Parties have agreed that emissions cannot be attributed to particular countries. MEPC 60/4/54 (Germany): comments on document MEPC 60/4/22 by Norway. Germany herewith transmits various detailed results of a scientific study on impact assessment of a Global Emissions Trading Scheme for International Shipping (METS) as proposed by France, Germany and Norway (MEPC 59/4/25). The Study found that an Emissions Trading Scheme (ETS) would not lead to any significant increase in product prices with a price increase of less than 1% on average. MEPC 60/4/55 (IUCN): proposes a rebate mechanism for a market-based instrument for international shipping in order to deliver on the UNFCCC principle of common but differentiated responsibilities and respective capabilities. The rebate mechanism could ensure that developing countries are not disadvantaged by a yet to be decided market-based instrument but rather benefit from it. MEPC 60/INF. 7 (Denmark): demonstrates the possible effects on sea transport cost resulting from the introduction of an International Fund for GHG emissions from ships as proposed in MEPC 60/4/8. MEPC 60/INF. 8 (France): presents a report on procedures for the sale and auctioning of CO2 allowances, drafted by a high-level group of experts and submitted to the French Government in summer

7 MEPC 60/INF. 9 (Secretariat): offers the IMO submissions to the United Nations Climate Change Conference 2009 and to its preparatory meetings. The document summarizes the participation by the IMO Secretariat and provides information on related outreach activities. MEPC 60/INF. 12 (World Bank): outlines some of the areas in which the World Bank can contribute expertise and services and outlines examples of directing carbon finance within and outside of the maritime sector. MEPC 60/INF.18 (Secretariat): presents a Study carried out by Lloyd's Register and DNV on the projected emissions reduction associated with the technical and operational measures agreed at MEPC 59. GHG other issues MEPC 60/4/24 (Norway, Sweden and US): discusses the impacts of black carbon (BC) emissions from shipping on the Arctic climate, the importance of that impact, and several approaches to reduce those emissions. This document also sets forth several potential initial proposals for action to reduce BC emissions from shipping that impact the Arctic that the Committee might consider. MEPC 60/INF. 20 (FOEI): describes a new high-resolution inventory of black carbon, organic carbon and sulphur oxide emissions from international shipping activity in the Arctic (north of 60 degrees North latitude) for the years 2004, 2020 and

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