EU Approves CO2 MRV Regulation

Maritime Activity Reports, Inc.

May 18, 2015

The European Council approved a new shipping regulation on the monitoring, reporting and verification (MRV) of CO2 emissions on April 28, 2015, as part of its overall strategy to reduce greenhouse gas emissions by 2050.
 
The regulation, slated to enter into force on July 1, 2015 with the first reporting cycle will commence in 2018, applies to all vessels over 5,000gt trading in EU ports, excluding fishing vessels, warships, naval auxiliaries, wooden ships of primitive build, ships not propelled by mechanical means and government ships used for noncommercial purposes.
 
The following requirements will apply:
 
Monitoring
From August 31, 2017, all vessels over 5,000gt trading to, from and between ports in the jurisdiction of EU member states will be required to carry on board a CO2 monitoring plan that has been reviewed by a third party verifier.
 
This plan must contain vessel and company details; details of emission sources; procedures for plan updates; procedures for monitoring voyage times and distances; procedures for monitoring time spent in port/at anchor; procedures for monitoring fuel consumption, including the monitoring method used, details of measuring instruments and data management and the density calculation method; the emissions factors used for each type of fuel; and procedures for monitoring and recording cargo and passenger levels for each voyage.
 
Monitoring will be on a per-voyage basis, and data will be aggregated into an annual emissions report.
 
The first reporting period requiring monitoring will be January 1, 2018, to December 31, 2018.
 
Verification
Once monitoring is completed, data collected in accordance with the monitoring plan will require verification by an approved third party.
 
Once the verification process is successfully completed, the vessel will be issued a Document of Compliance which will need to be kept on board for inspection.
 
The penalties for failing to carry a Document of Compliance include vessel detention and the issue of an Expulsion Order that prohibits entry into EU ports.
 
Reporting
From 2019, verified annual reports must be submitted to the EU Commission and the flag authority for each vessel by April 30 each year.
 
These reports will consist of vessel and company details; the Energy Efficiency Design Index (EEDI) or Estimated Index Value (EIV), for ships for which the EEDI is not mandatory, information as applicable; the monitoring methods used; and the results of the annual monitoring.
 
The Commission will make this information publicly available by June 30 each year.
 
Lloyd’s Register will hold an MRV seminar on June 17, 2015, in London.
 
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