Plans to tax polluting ships

The shipping industry should be taxed for polluting the atmosphere, according to industry heads.

By Louise Gray, Environment Correspondent Last Updated: 5:55PM GMT 15 Dec 2008

Heavy industry in Europe already pays to pollute through an "emissions trading scheme". This system limits pollution by charging any business that emits more than a certain amount of carbon dioxide.
Now the UK-based Chamber of Shipping has called for a similar scheme for the global shipping business.
It would be very difficult to police but could cut pollution substantially as the industry produces thousands of tonnes of greenhouse gases every year.
Chamber of Shipping president Martin Watson said shipping goods is better for the environment than air freight but causes nearly three per cent of global carbon dioxide emissions.
"We need to take whatever action is needed to try to limit those emissions – but without accidentally causing freight to be shifted from ships to other, less carbon-friendly forms of transport. That would be catastrophic in terms of total emissions."
The challenge that faces the industry and legislators is identifying who is responsible for a ship's emissions as although ships may be owned by one person, the goods being transported could be owned by another person and the transportation required by a third party. Also ships, by their very nature, move between countries, making it easy to avoid national carbon regulation unless that regulation is applied on an international level.
But Peter Lockley, head of transport policy at environmental group WWF-UK, said it would encourage cleaner technology on ships and the money raised could be used to develop green technology in the developing world.
"I'm very pleased that the UK shipping industry is advocating an emissions trading system for ships and I look forward to working with them to refine and build support for the proposal. "If designed well, the scheme would put a price on maritime carbon emissions, speeding up the drive for cleaner ships and helping to pay for low-carbon development in poorer countries. It would position shipping as a progressive and responsible industry, and I very much hope that it will be part of a global climate change deal [to replace the Kyoto Protocol] next year in Copenhagen."