Lack of strong national policies on green fuels holds back investments in shipping infrastructure, report says

A new report by the Tyndall Centre at the University of Manchester, which highlights the role of the shipping sector in transporting green fuels, is urging governments to create far stronger national policies on low-carbon fuels in order to bridge ‘a yawning gap’ between government-led projects and what is required.

The report called “Shipping’s Role in the Global Energy Transition” identifies growth in low-carbon hydrogen and sustainable bioenergy as essential to meet the Paris Climate Agreement’s goals.

However, it found that a lack of enabling policies from governments, such as guaranteed markets and prices for producers and consumers, was holding back investment in the shipping infrastructure needed to support the global energy transition.

The world needs 50-150 million tonnes of low-carbon hydrogen by 2030, but there is a major gap between this and what is planned to date; already-announced projects will only produce 24 million tonnes by 2030, according to the International Energy Authority, and only 4% of these projects have a final investment decision.

Source: World Maritime News