FuelEU Maritime is a European regulation that, much like the EU ETS Maritime, is executed in the Netherlands by the NEa. While the ETS focuses on putting a price on the total volume of emissions, FuelEU Maritime sets specific requirements for the greenhouse gas (GHG) intensity of the energy used on board ships. Its goal is to increase the share of renewable and low-carbon fuels in maritime transport and accelerate the transition away from fossil fuels.

Implementation of FuelEU Maritime requires shipping companies to monitor and report the average annual GHG intensity of the energy used by their ships. As the years progress, the limits for this intensity become increasingly strict. Companies that exceed the limit must pay a penalty, while those that perform better than required can 'pool' their compliance balance with other ships or 'bank' it for future years.

Objectives

The primary goal of FuelEU Maritime is to create a predictable demand for renewable and low-carbon fuels. By setting strict limits on GHG intensity, the regulation encourages shipowners to invest in alternative fuels—such as e-methanol, hydrogen, ammonia, or biofuels—and in onshore power infrastructure. This not only reduces reliance on traditional heavy fuel oil but also drives technological innovation and sustainability within the European maritime sector.

Scope

From January 1, 2025, the FuelEU Maritime regulation applies to ships of 5,000 gross tonnage and larger calling at EEA ports for the commercial carriage of cargo. As with the ETS, the flag of the vessel and the place of registry of the company are irrelevant.

The regulation covers:

  • 100% of the energy used for voyages between two EEA ports (intra-EU)
  • 100% of the energy used while a ship is at berth in an EEA port
  • 50% of the energy used for voyages starting or ending outside of the EEA (extra-EU voyages)

The GHG intensity limit is reduced stepwise compared to the 2020 reference level:

  • 2% in 2025
  • 6% in 2030
  • 14.5% in 2035
  • 31% in 2040
  • 62% in 2045
  • 80% in 2050

An example: A container ship traveling from Shanghai to Rotterdam in 2025 must calculate the GHG intensity of the fuel used. For this calculation, 50% of the energy consumed during that voyage is taken into account. The average intensity of all covered voyages in that year must be at least 2% lower than the reference value.

Onshore Power Supply (OPS)

In addition to fuel intensity, FuelEU Maritime includes a specific mandate for the use of Onshore Power Supply (OPS). From 2030, container ships and passenger ships in major EU ports are required to connect to shore power to reduce local air pollution and CO2 emissions at berth to zero.

Comparison: EU ETS vs. FuelEU Maritime

To help clarify the two regulations, here is a quick overview of how they differ:

FeatureEU ETS MaritimeFuelEU Maritime
FocusQuantity of emissionsIntensity of energy (GHG per MJ)
Main ToolCarbon pricing (Surrendering allowances)Fuel standards (Sustainability limits)
Effective DateJanuary 2024January 2025
ApproachTank-to-Wake Well-to-Wake
ComplianceBuy/Trade EUAsUse cleaner fuels / Pooling / Penalties