UK Emissions Trading Scheme: Shipping
The question
To ask the Secretary of State for Energy Security and Net Zero, what assessment his Department has made of the potential impact of including domestic maritime within the UK Emissions Trading Scheme on the competitiveness of UK ports and shipping operators; and what steps he is taking to mitigate risks of traffic diversion.
Answered by Chris McDonald
The Government’s Impact Assessment for including domestic maritime emissions within the United Kingdom Emissions Trading Scheme concluded that the policy is not expected to materially affect the competitiveness of United Kingdom ports or shipping operators. Compliance costs are proportionate, particularly on a per operator basis, and the scheme is designed to support cost effective decarbonisation across the sector. The Assessment also finds no credible risk of traffic diversion, as the scheme applies uniformly to domestic voyages and at berth emissions.
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