Ocean Network Express finalises 1st EUA Transaction

Since 1 January 2024, the EU Emissions Trading System (EU-ETS) has been extended to cover the maritime transport industry.

This has introduced new requirements for shipping companies to monitor, report, and verify their greenhouse gas (GHG) emissions annually, with emissions data will be utilised to determine the EUA that they need to surrender within a compliance period. Non-compliance with these regulations will result in penalties and denial of entry to EU/EEA member states.

In preparation for upcoming EU-ETS compliance, ONE has enhanced its internal systems to accurately reflect CO2 emissions data. The company has also initiated a trading account on the Union Registry to hold and transfer EUA according to the procedures.

Through this proactive approach, ONE was able to secure its inaugural purchase of EUA from BNP Paribas on 8 February 2024. The acquired EUA will be subsequently transferred to respective vessel owners in compliance with the agreements as well as the EU ETS regulations, which will ultimately enable the vessel owners to meet their surrender obligations to the EU by 30 September 2025.

“The EU-ETS is a cornerstone of EU’s policy to combat climate change and its key tool for reducing greenhouse gas emissions. This EUA deal with ONE is important for Asian carriers, demonstrating proactive readiness for EU-ETS compliance,” stated BNP Paribas Singapore.