As the global shipping industry continues to evolve, regulatory compliance is becoming increasingly critical for shipowners and operators. The International Maritime Organization (IMO) has set ambitious new regulations that will come into effect in 2024, aiming to reduce greenhouse gas emissions and improve energy efficiency across the maritime sector. 

For members of the Emirates Shipping Association, staying ahead of these regulatory changes is essential to maintaining operational efficiency, avoiding penalties, and contributing to global sustainability efforts.

Understanding IMO 2024: Key Regulations

Two of the most significant regulations taking effect in 2024 are the Carbon Intensity Indicator (CII) and the Energy Efficiency Existing Ship Index (EEXI). Both measures are part of the IMO’s strategy to reduce the carbon intensity of international shipping by 40% by 2030 and align with the broader goal of achieving at least a 50% reduction in total annual greenhouse gas emissions by 2050.

The two measures in brief:

Carbon Intensity Indicator (CII): The CII regulation requires ships to measure and report their carbon emissions relative to the amount of cargo they carry and the distance they travel. Ships will be assigned an annual carbon intensity rating ranging from A (best) to E (worst). Vessels that receive a D rating for three consecutive years or an E rating for one year will be required to submit a corrective action plan to improve their carbon intensity. This rating system encourages shipowners to adopt more energy-efficient practices and technologies to enhance their ratings.

Energy Efficiency Existing Ship Index (EEXI): The EEXI applies to existing ships and sets a baseline for energy efficiency based on a vessel’s design and operational performance. Similar to the Energy Efficiency Design Index (EEDI) for new ships, the EEXI aims to bring existing vessels up to modern energy efficiency standards. Compliance with the EEXI may require retrofitting ships with energy-saving technologies, optimising operational practices, or even reducing engine power to meet the required index thresholds.

Preparing for Compliance

For shipowners and operators, preparing for these new regulations involves a multi-faceted approach. First, conducting an assessment of the current fleet’s performance against the upcoming CII and EEXI standards is crucial. This assessment will help identify which vessels require modifications or operational changes to meet the regulations.

Investing in energy-efficient technologies is a key strategy for compliance. Retrofitting existing vessels with equipment such as hull modifications, energy-saving devices, and air lubrication systems can significantly improve fuel efficiency and reduce emissions. Additionally, adopting digital solutions for monitoring and optimising fuel consumption and implementing slow steaming practices can further enhance a vessel’s energy profile.

It is also essential for shipowners to engage with classification societies and regulatory bodies to stay informed about the latest guidelines and compliance procedures. Working with technical experts and consultants can help develop tailored strategies for each vessel or fleet, ensuring a smooth transition to the new regulatory framework.

The Role of Collaboration

The journey towards compliance is not one that shipowners need to navigate alone. Industry collaboration is crucial in sharing best practices, technological advancements, and compliance strategies. Emirates Shipping Association will bring members together to facilitate these exchanges, providing members with access to valuable resources, training sessions, and networking opportunities. By fostering a community of knowledge-sharing and support, we aim to help our members achieve compliance more efficiently and effectively.

The Way Forward

The new IMO 2024 regulations represent a significant step forward in the maritime industry’s commitment to sustainability and reducing its environmental impact. For members of the Emirates Shipping Association, understanding and preparing for the CII and EEXI requirements is essential to ensuring compliance, maintaining operational efficiency, and contributing to global decarbonization efforts. By embracing these regulations and investing in energy-efficient technologies and practices, shipowners can not only meet the challenges of the future but also play a leading role in creating a greener, more sustainable shipping industry.