Regulatory support needed for net zero, warns LR

The inaugural Global Maritime Trends 2025 Barometer released today by LR and Lloyd’s Register Foundation aims to be a comprehensive analysis of the industry’s progress on energy and digital transitions across five key areas: maritime trade, energy, vessels, ports and people.

Despite progress in alternative fuel take-up, the report warns that the widespread adoption of green fuels remains unlikely with shipowners hesitant to make long-term investments because of regulatory uncertainty.

“This is a critical moment for the maritime sector,” said James Frew, LR advisory director.

“The industry has demonstrated its commitment to change, but the reality is that without regulatory clarity and global alignment, investment and innovation will remain hesitant.”

The report finds that global energy production in shipping is still heavily reliant on fossil fuels, with energy transition scores ranging from 24% to 30% alignment with decarbonisation goals.

While the orderbook for alternative-fuelled ships grew by over 50% in 2024, regulatory mechanisms such as carbon pricing and emissions mandates are necessary to accelerate the transition.

On the digital front, maritime lags behind land industries with alignment scores between 32% and 48%. The Barometer identifies challenges such as data standardisation, interoperability and a lack of digital skills among maritime personnel.

A further hindrance is the workforce gap, with training programmes insufficient to equip seafarers for new technologies, says the report.