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FuelEU Maritime

X44. Shipping Indices, FFAs and Freight Markets

Definition

European Union regulation imposing greenhouse gas intensity limits on shipping fuels, driving development of pooling mechanisms and compliance instruments.

FuelEU Maritime, EU Regulation 2023/1805, caps the well-to-wake greenhouse gas intensity of energy used onboard ships above 5,000 GT calling at EU and EEA ports, in force from 1 January 2025. The limit cuts from a 2020 baseline of 91.16 gCO2e/MJ by 2 percent in 2025, 6 percent in 2030, and 80 percent by 2050. A ship above target generates a compliance deficit penalized at 2,400 euros per tonne of VLSFO-equivalent energy; surplus can be banked, borrowed, or pooled across ships. It also mandates onshore power use at berth for container and passenger ships from 2030, and runs in parallel with the EU ETS.

Source: EU Regulation 2023/1805