The EU Emissions Trading System (EU ETS) continues to evolve as the European Union looks to advance its climate ambitions while supporting industrial competitiveness.
In July 2026, the European Commission presented proposed revisions to the EU ETS, including changes relevant to the maritime sector. For shipping companies operating within its scope, understanding how the regulatory framework could develop will be important for planning ahead.
What is changing?
The proposed revision includes several measures relevant to maritime transport.
One area under consideration is the expansion of the system to medium-sized cargo and offshore ships between 400 GT and 5,000 GT, broadening the vessels potentially subject to EU ETS requirements.
The proposals also address the emissions covered by the system. Obligations to surrender allowances would extend to methane and nitrous oxide emissions, rather than being limited to carbon dioxide.
From 2027, shipping companies would also be required to surrender allowances covering 100% of their reported emissions from 2026 onwards.
Addressing carbon leakage and competitiveness
The proposals also look at how the EU ETS can continue to drive decarbonisation while addressing competitiveness and the potential diversion of maritime traffic.
Measures proposed to curb evasion and the diversion of transhipment traffic include reducing the relevant transhipment threshold from 65% to 50%, which could extend the excluded ports list to additional neighbouring hubs.
The proposals also consider adjustments to the Linear Reduction Factor, which determines the pace at which the overall emissions cap declines.
What does this mean for the maritime sector?
For shipowners, operators and marine energy customers, the direction of travel reinforces the growing importance of incorporating emissions regulation into commercial and operational decision-making.
The proposals remain part of an evolving legislative process, meaning their final form could change. The outcomes of upcoming debates and reports will help shape the future of the EU ETS and the balance between industrial competitiveness and decarbonisation.
“As the regulatory landscape evolves, we help customers turn complex challenges into business opportunities. By providing clear guidance on emerging requirements, their operational and commercial implications, and the most effective compliance and decarbonisation solutions, we enable informed decision-making and support long-term success in a rapidly changing market.” Maria Angelez Lopez, Decarbonisation Manager, Peninsula
At Peninsula, we continue to monitor developments across the regulatory landscape and work with our customers to help them understand what evolving requirements mean for their operations.
As the industry moves from policy to practice, having access to the right expertise, information and marine energy solutions will be increasingly important in navigating the transition.
Speak to our team to learn more about the evolving regulatory landscape and what it could mean for your business.