EU ETS & FuelEU Maritime

Supporting EU ETS & FuelEU Maritime Compliance

We help shipowners and operators navigate Europe’s evolving maritime decarbonization regulations through practical fuel solutions, emissions support, and compliance-ready delivery.

EU ETS and the Maritime Industry

The EU Emissions Trading System (EU ETS) is the EU’s carbon pricing mechanism. It requires companies to measure, report, and verify CO₂ emissions, and surrender carbon allowances (EUAs) corresponding to those emissions.

01

One EUA = 1 tonne of CO₂

02

Emit more → purchase additional allowances

03

Emit less → lower carbon costs

From 2024, the EU ETS extends to the maritime sector, meaning ship operators must account for emissions in EU waters.

Which Voyages Are Currently
in Scope?

Vessels ≥5,000 GRT/DWT
Voyages originating or ending at EU ports

Voyage Coverage

Intra-EU: 100% of fuel in scope
EU ↔ Non-EU: 50% of fuel in scope

Phased Implementation of EUAs

Year / Period Scope Ship Size & Type Greenhouse Gases Covered ETS Coverage
2023 Reporting only (MRV) Cargo & passenger ships >5,000 GT; Offshore ships >5,000 GT CO₂ No allowance surrender
2024 Included in EU ETS Cargo & passenger ships >5,000 GT; Offshore ships >5,000 GT CO₂ 40% of emissions
2025 Expanded compliance Cargo & passenger ships >5,000 GT; Offshore ships >5,000 GT CO₂ 70% of emissions
2026 onwards Full ETS coverage Cargo & passenger ships >5,000 GT; Offshore & general cargo ships 400–5,000 GT CO₂, CH₄, N₂O 100% of emissions
2027 onwards Ongoing Same as above CO₂, CH₄, N₂O 100% of emissions

Exempt Port Calls

Certain operations are not counted towards EUA obligations:

  • Refuelling or bunkering
  • Obtaining supplies
  • Crew changes (except offshore vessels)
  • Dry-docking or repairs
  • Assistance or distress
  • Ship-to-ship transfers outside ports
  • Sheltering from bad weather or search & rescue

Responsibility for EUAs

  • The Document of Compliance (DoC) holder (owner or technical manager) is legally responsible for surrendering EUAs.
  • Liability cannot be avoided based on flag, country of incorporation, manager, or charterer.

Exception

  • Liability may be contractually transferred to a commercial charterer.
  • Fuel suppliers are never directly liable unless they hold the vessel’s DoC.

How EUAs Are Calculated

Each fuel type has a CO₂ emission factor:

From 2026 onwards, EU ETS also includes CH₄ (methane) and N₂O (nitrous oxide), converted into CO₂-equivalent (tCO₂e) using Global Warming Potentials (GWP). CO₂ is the main contributor, while CH₄ and N₂O add a small additional amount.

Fuel Type CO₂ (t/t)
HFO 3.114
LFO 3.151
MGO 3.206
Step-by-Step Example (100 MT HFO, EU Non-EU voyage):

01

CO₂: 100 × 3.114 = 311.4 tCO₂

02

CH₄: 100 × 0.00005 × 25 = 0.125 tCO₂e

03

N₂O: 100 × 0.00001 × 298 = 0.298 tCO₂e

Total CO₂-equivalent: 311.4 + 0.125 + 0.298 ≈ 311.823 tCO₂e

Apply voyage coverage (50% for EU <-> Non-EU): 311.823 × 50% ≈ 155.91 EUAs required

One EUA is surrendered per 1 tCO₂e, ensuring compliance with EU ETS obligations ¹.
¹ EU ETS requirements may change. Information accurate as at the date of publication.

Owning and Managing EUAs:
  • Shipping companies Must have a Union Registry Account (Trading or Maritime Operator Holding Account)
EU Shipowners:
  • Register with country of incorporation
  • Report emissions: by 31 March for previous calendar year
  • Purchase & surrender EUAs: by 30 September for previous calendar year
Non-EU Shipowners:
  • Register with EU Member State where most port calls occurred (last four years)
  • Must appoint an Authorized EU Representative (subsidiary, fiscal agent, or partner)
  • Without this, registry accounts cannot be opened, and Uni-Fuels cannot transfer allowances
Example of common authorities:
  • NEa (Netherlands), DEHSt (Germany)

FuelEU Maritime:
Reducing Greenhouse Gas Intensity at Sea

FuelEU Maritime is an EU regulation designed to reduce the greenhouse gas (GHG) intensity of marine fuels from well-to-wake. While the EU ETS targets emissions through a carbon price, FuelEU Maritime requires ships to gradually reduce the carbon intensity of the fuels they use, promoting cleaner and more sustainable marine fuels.

How FuelEU Maritime Works

  • Carbon Intensity Targets: Ships must meet GHG intensity limits for the fuels used on voyages to, from, or between EU ports.
  • Gradual Reduction: Targets increase over time, encouraging transition from conventional fuels to alternative fuels such as biofuels, LNG, and methanol.
  • Verification and Reporting: Ships must monitor, report, and verify fuel consumption and emissions intensity.

Key Differences from EU ETS:

Feature EU ETS FuelEU Maritime
Focus Total emissions (tCO₂) Fuel GHG intensity (gCO₂e/MJ)
Compliance Purchase & surrender EUAs Meet carbon intensity limits; penalties for non-compliance
Covered Gases CO₂, CH₄, N₂O CO₂, CH₄, N₂O (lifecycle fuel intensity)
Incentive Market-based carbon cost Direct operational requirement to use lower-carbon fuels

GHG Intensity Reduction Targets

Year
GHG Intensity Reduction vs 2020

Implications for Ship Operators

Fuel selection matters:

Operators must choose fuels with lower lifecycle emissions.

Operational planning:

Voyage routes, fuel blends, and port operations can influence compliance with intensity targets.

Penalties for non-compliance:

Authorities can impose fines or restrict port access.

How Uni-Fuels Supports Compliance

Uni-Fuels helps shipowners and operators navigate both EU ETS and FuelEU Maritime requirements:

Buy EU Allowances (EUAs) at commercial terms tailored to your needs
Flexible trading with no minimum or maximum size
Receive EUA certificates in your registered Union Registry account
Supplying ISCC-certified sustainable biofuels, which can help reduce reported CO₂ emissions under EU ETS and lower GHG intensity under FuelEU Maritime
Assist in aligning operational practices with evolving EU ETS and FuelEU Maritime obligations

By combining regulatory expertise, market knowledge, and lower-carbon fuel solutions, Uni-Fuels helps shipowners and operators simplify compliance, reduce risk, and optimize carbon and operational costs.