Double pricing of greenhouse gas emissions in shipping: Competitiveness, climate, and what to do about it

Uniunea Europeana

International shipping faces significant challenges as emissions trading schemes expand, potentially leading to overlapping greenhouse gas pricing mechanisms. Concerns are rising among shipping companies that double pricing could reduce their competitiveness and raise costs. This column identifies three potential scenarios in which emissions from international shipping could become subject to multiple GHG pricing instruments, and suggests that one way to avoid double pricing would be to