Amazon.com and IKEA, along with over 30 other companies, plan to invite shipping firms to bid in January for contracts to move their cargo using near-zero emissions e-fuels such as e-methanol. This initiative, led by the Zero Emissions Maritime Buyers Alliance (ZEMBA), aims to boost demand for e-fuels produced using renewable electricity and carbon dioxide, essential for decarbonizing ocean shipping.
The maritime industry, responsible for over 80% of global trade, contributes approximately 3% of global greenhouse gas (GHG) emissions. The alliance seeks to accelerate the shift toward net-zero emissions by 2050, a target challenged by limited e-fuel availability and high costs. "This is how you get on path and on track to being net-zero," said Carl Berger of Amazon Global Logistics.
Contracts spanning three to five years are set to begin in 2027, potentially transporting an estimated 1.4 million containers and preventing 470,000 metric tons of GHG emissions. Companies like Maersk and Evergreen are preparing for this shift by ordering e-methanol-capable ships.
ZEMBA anticipates paying a premium for e-fuels but expects costs to decrease as market demand grows. Global regulatory efforts, including the International Maritime Organization’s April session, may further support this transition through GHG pricing mechanisms and emissions regulations.
Source: Reuters