Under the leadership of Ursula von der Leyen, the European Commission has presented a plan to strengthen the EU’s competitiveness, which is under pressure, particularly from the US and China. The plan includes a competition compass and a series of legislative proposals over the next five years.
The competition compass is designed to provide an overview of the Commission’s priorities. In the coming weeks, a more detailed package and work program for the upcoming years will be presented. There are no plans to ease the green ambitions, but reporting requirements will be relaxed. The first step will be a comprehensive package of simplifying measures in February, including a 25% reduction in the reporting obligations for companies in areas such as sustainable finance, human rights, environmental impact, and other sector-specific initiatives.
“This is really good news from the Commission if it is actually implemented this time. A 25% reduction in administrative burdens will have a clear effect on shipping companies’ costs for implementing EU regulations, and there are also high expectations for faster approvals, for example, for the construction of offshore wind and solar parks,” says Anne H. Steffensen.
Financing the green transition, particularly the production of alternative fuels at a low cost, is facing challenges. It is the single largest obstacle to the long-term green transition of shipping. Therefore, there are great expectations for the combination of the Clean Industrial Deal initiative, a new Sustainable Transport Investment Plan, and a new investment program led by the European Investment Bank, all of which should contribute to lowering the price of sustainable energy and accelerate the production of the green fuels that shipping companies are demanding.
Investments in the green value chain, and especially in the production of green fuels, are key to competitive energy prices.
Anne H. Steffensen, CEO of the Danish Shipowners’ Association.
“Investments in the green value chain, and especially in the production of green fuels, are key to competitive energy prices. The EU can take the lead in the green transition of shipping by ensuring access to green fuels. This is absolutely necessary, as otherwise we will face critical dependence on, among others, China, as we have seen with solar cell production,” says Anne H. Steffensen, CEO of the Danish Shipowners’ Association.
It is expected that the Commission will present a work program on February 11, 2025. The proposal for a Clean Industrial Deal, which is a package of measures to ensure the coherence between competitiveness and green transition, is expected to be presented on February 26, 2025.
source: cyprusshippingnews.com
