EmissionLink Urges EU ETS Cash for Shipboard Carbon Trials

By Olivia Hart

EmissionLink says shipboard carbon capture will stall without dedicated EU Emissions Trading System auction revenue, yet its proposal sets no minimum amount, vessel count or deployment deadline.

The maritime compliance consultancy made the case as the International Maritime Organization advances interim safety guidelines for shipboard capture systems. EmissionLink argues that safety rules alone will not drive adoption unless public co-financing de-risks high capital and operating costs for vessel operators.

EmissionLink wants European policymakers and regulators to dedicate a portion of EU ETS auction revenue to full-scale onboard carbon capture and storage trials, alongside port reception infrastructure. The proposal identifies no funding decision, tender or committed vessel program.

The case has direction, but not a price tag: the firm names no funding percentage, project schedule or commissioning date. For now, this is a policy case rather than a funded deployment plan.

Why do liner routes fit better?

EmissionLink says suitability varies across global shipping segments. Fixed-route liner services offer the most credible early deployment because operators can secure predictable port offloading infrastructure and carbon supply chains.

Spot-charter vessels face a less orderly set of problems:

• inconsistent access to port reception facilities
• spatial constraints
• extra auxiliary power demands
• the remaining hull lifecycle
• contractual hurdles

Fixed schedules and prepared ports give OCCS its clearest path to early deployment.

Where should EU ETS revenue go?

EmissionLink asks for dedicated auction revenue to support full-scale OCCS trials and port reception infrastructure. The firm says direct public co-financing must reduce the financial risk carried by vessel operators, rather than leaving safety guidance as the only government contribution.

Philippos Ioulianou, managing director of EmissionLink, said: “Capturing carbon is not necessarily the same as delivering a verified reduction in emissions. Shipowners need certainty over how those savings will be measured, independently verified, and recognized under relevant regulations.”

His proposal would fund end-to-end demonstration projects covering onboard collection, offloading, transport, and permanent geological sequestration or utilization under real-world maritime operating conditions.

That scope tests the chain from capture at sea to final storage or use, rather than only the shipboard equipment. The proposal still specifies no minimum percentage of auction revenue, target vessel count, project schedule or commissioning deadline.

The case for public money rests on complete, real-world projects, not isolated capture trials.

What must regulators settle?

The EU ETS recognizes qualifying carbon capture and permanent storage, but EmissionLink says practical monitoring, reporting and verification protocols tailored to maritime transport remain underdeveloped.

FuelEU Maritime regulates the overall greenhouse gas intensity of onboard energy rather than absolute point-source capture volumes. As a result, EmissionLink warns that emissions reductions recognized under the EU ETS may not automatically produce compliance credits under FuelEU Maritime.

Charter contracts between shipowners and charterers also need rules for:

• additional fuel burn
• crew workload
• offloading delays
• the precise allocation of compliance benefits

Without common measurement and credit rules, verified capture still may not count against a vessel’s compliance obligations.

What decides the next step?

The next milestones are concrete: completion of the IMO’s interim safety guidelines, an EU decision on dedicated auction funding, and rules connecting maritime capture measurement with recognition under the EU ETS and FuelEU Maritime.

The market test will come when operators can calculate verified savings, price added fuel and crew work, and assign compliance benefits under charter contracts. Until those pieces align, onboard capture remains a policy proposal without a settled commercial case.