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Decarbonisation

Skuld: Expansion of UK Emissions Trading Scheme to maritime sector

UK Interim Response outlines certain policy decisions to help maritime operators and regulators prepare for the sector’s inclusion in the UK ETS.

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Simone Vitzthum, Assistant Vice President of Loss Prevention and Lawyer at Skuld, on Monday (25 August) wrote on the UK ETS Authority releasing an interim response about expanding the UK ETS to cover maritime emissions starting on 1 July 2026: 

The UK ETS Authority (the “UK Authority”) released an interim response 21 July 2025 (the “UK Interim Response”), following its November 2024 consultation (the “UK Consultation”), about expanding the UK ETS to cover maritime emissions starting 1 July 2026.

The expansion of the UK ETS into maritime is part of the UK Government’s Net Zero Strategy. The UK Interim Response outlines certain policy decisions to help maritime operators and regulators prepare for the sector’s inclusion in the UK ETS. The UK Authority will provide a comprehensive response to the UK Consultation in the future.

The first scheme year will run from 1 July 2026 to 31 December 2026, with subsequent years from 1 January to 31 December , which will constitute the compliance period.​

Inclusion of methane and nitrous oxide emissions

The UK Authority decided to include emissions of methane and nitrous oxide, as well as those of carbon dioxide. This applies to emissions from both the combustion and slippage of these gases. Methane and nitrous oxide emissions would be calculated on a carbon dioxide equivalent (CO2e) basis, based on their Global Warming Potential (GWP). Further details on the measure of calculating emissions from these gases will be provided in guidance in the future. For the purposes of this article, the term “emissions” includes carbon dioxide emissions as well as emissions of methane and nitrous oxide.

Application

 

The EU ETS will apply to ships of 5000 gross tonnage (GT) and above, with plans to review this by 2028.

Scope

Domestic voyage

The UK Authority intends to proceed with the proposed definition of domestic voyage, which would include voyages from one UK port to another UK port and voyages that start and end at the same port in the UK. This will include all emissions within a voyage, including while at anchor and while moored. Clearer guidance around emissions at anchor and defining the start and end of a voyage will be provided in future guidance.

Emissions produced during voyages to and from Crown Dependencies and Overseas Territories (CDs & OTs) are not planned to be included in the scope of the UK ETS, however, UK Authority will monitor and review the scheme and may consider this in the future.

International voyage

Questions about the inclusion of some emissions from international voyages will also be addressed by the UK Authority. The UK Authority will also address questions about including some emissions from international voyages in the future.

Note: The full article by Skuld can be found here

 

Photo credit: shraga kopstein on Unsplash
Published: 26 August, 2025

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Nuclear

ABS awards AiP to Korean institute for SMR-powered container ship concept design

KRISO says AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

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ABS awards AiP to Korean institute for SMR-powered container ship concept design

Korea Research Institute of Ships & Ocean Engineering (KRISO) on Thursday (16 July) received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its concept design of a 15,000 TEU Small Modular Reactor (SMR)-powered container ship utilising Molten Salt Reactor (MSR) technology.

KRISO said the AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

“This achievement demonstrates international recognition of KRISO’s technological capabilities in the rapidly evolving field of nuclear-powered shipping, supporting the transition toward low-carbon maritime transport,” it said. 

Building on this milestone, KRISO will continue advancing basic and detailed ship design, paving the way for future demonstration and commercialisation of SMR-powered vessels. 

Through continued R&D and international collaboration, KRISO remains committed to strengthening next-generation maritime technologies and contributing to the safe deployment of nuclear propulsion in the maritime industry.

 

Photo credit: Korea Research Institute of Ships & Ocean Engineering
Published: 21 July, 2026

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