FuelEU Maritime or EU ETS for shipping: what is the difference?
FuelEU Maritime steers the fuel — a falling greenhouse gas intensity (well-to-wake) from 2% in 2025 to 80% in 2050. The EU ETS for shipping instead prices emissions (tank-to-wake CO2) via allowances. Two separate regimes that complement each other.
Short answer: FuelEU Maritime steers the fuel that ships use, while the EU ETS for shipping puts a price on emissions through allowances. They are two separate regimes that apply alongside each other.
Two instruments, two aims
Shipping companies calling at EU ports face both regimes, but they act at different points. FuelEU Maritime — Regulation (EU) 2023/1805 — sets a limit on the greenhouse gas intensity of the energy used on board. That intensity is calculated across the full chain, well-to-wake: from the extraction and production of the fuel through to its combustion on board. The EU ETS for shipping does something different: it prices the actual CO2 a ship emits, tank-to-wake, by requiring companies to surrender emission allowances for their emissions.
FuelEU Maritime: the fuel
FuelEU Maritime has applied since 1 January 2025 (the monitoring plan already from 31 August 2024) and covers ships above 5,000 GT calling at EU ports, regardless of flag. At its core is a declining limit on greenhouse gas intensity: 2% reduction in 2025, rising to 80% in 2050. In addition, at berth there is an obligation to use onshore power supply (OPS) or zero-emission technology. FuelEU thus forces a shift towards cleaner fuels and energy sources — it steers the input.
EU ETS shipping: the emissions
The EU Emissions Trading System has been extended to shipping in a phased way (2024–2026). Here it is not about the composition of the fuel but about putting a price on the CO2 that is actually emitted. The more a ship emits, the more allowances the company must buy and surrender. The ETS therefore steers the output.
In short: FuelEU steers the fuel, the ETS prices the emissions. They are not mutually exclusive — a company complies with both at once, and switching to cleaner fuel can lower its FuelEU intensity and its ETS costs alike.
Read the main file: FuelEU Maritime & EU ETS in context. Or take the Transport & Logistics scan.
Sources
- https://eur-lex.europa.eu/eli/reg/2023/1805/oj
Regulation (EU) 2023/1805 (FuelEU Maritime); applicable since 1 January 2025.
Read next
FuelEU Maritime & EU ETS: decarbonisation reaches shipping
Since 1 January 2025 FuelEU Maritime (Regulation (EU) 2023/1805) applies: ships above 5,000 GT calling at EU ports must cut the greenhouse-gas intensity of their energy — 2% in 2025, rising to 80% by 2050. Together with the EU ETS for shipping it puts a price on emissions.
Does my ship fall under FuelEU Maritime?
FuelEU Maritime (Regulation (EU) 2023/1805) has applied since 1 January 2025 to ships above 5,000 GT calling at EU ports, regardless of flag. What matters is the tonnage and the EU port call, not the ship's nationality.
On-shore power at berth: when and for whom mandatory?
FuelEU Maritime requires ships above 5,000 GT calling at EU ports to use on-shore power (OPS) or zero-emission technology at berth. The regulation has applied since 1 January 2025, regardless of flag.