Belgian Shipowners Raise Concerns over IMO CII Formula

Industry body the Royal Belgian Shipowners' Association has published a new study highlighting what it sees as flaws in the IMO's Carbon Intensity Indicator formula.

The organisation has published the study in partnership with students from the Antwerp Management School, it said in an emailed statement.

The research sets out the following three variables in the formula with the most adverse impact on CII ratings:

·         Waiting Time: Time spent idling or waiting in ports or awaiting orders.

·         Number of Ports of Call: The frequency with which a ship docks at different ports.

·         Distance Travelled: The total nautical miles covered by the vessel.

"These findings underscore the multifaceted nature of CII ratings. If the IMO aims to maintain the CII as a meaningful measure to incentivise shipping's decarbonisation, a thorough review of the formula is necessary, taking into account the various factors beyond the control of both shipowners and charterers that influence the CII ratings," the shipping body said in the statement.

"At a higher level, the scope and goal of the CII within the basket of measures needs to be reassessed as well.

"Shipping is the most efficient way of transporting goods, emitting the lowest GHG per ton of transported cargo. Addressing the carbon efficiency of the sector requires the effort of every stakeholder involved, from shipowners and charterers to port authorities and customers.

"Placing the responsibility for a ship's efficiency solely on the shipowner does not accurately address the complexities and other influencing factors that exist."