London, United Kingdom – April 11, 2025 – In a historic move set to transform the future of global shipping, the International Maritime Organization (IMO) has approved a landmark regulatory package that sets the stage for the world’s first legally binding net-zero emissions framework covering an entire industry sector. The measures were adopted during the 83rd session of the Marine Environment Protection Committee (MEPC 83), held from April 7–11, 2025.
This new IMO Net-Zero Framework aims to drive the global shipping industry toward net-zero greenhouse gas (GHG) emissions by or around 2050, aligning maritime transport with global climate goals outlined in the Paris Agreement and the IMO’s own 2023 GHG Strategy.
“The approval of draft amendments to MARPOL Annex VI mandating the IMO net-zero framework represents another significant step in our collective efforts to combat climate change, to modernize shipping and demonstrates that IMO delivers on its commitments,” said IMO Secretary-General Arsenio Dominguez, emphasizing the spirit of international cooperation and commitment shown by Member States.
A Groundbreaking First: Combined Emissions Limits and Pricing
For the first time in history, a regulatory body has approved a global framework that combines mandatory emissions limits with a greenhouse gas pricing mechanism—a dual approach designed to both limit pollution and financially incentivize the transition to low- and zero-emission fuels and technologies.
The new measures will be implemented under a newly established Chapter 5 of MARPOL Annex VI and are expected to enter into force in 2027, following formal adoption in October 2025.
The regulations will apply to all large ocean-going vessels over 5,000 gross tonnage, which are responsible for roughly 85% of international shipping’s total CO₂ emissions.
Key Elements of the IMO Net-Zero Framework
The newly approved draft includes the following core components:
Global Fuel Standard (GFI Requirement)
- Ships will need to gradually reduce their annual GHG fuel intensity, measured on a well-to-wake basis (considering the full lifecycle emissions of fuels).
- Two levels of compliance will be enforced:
- Base Target (minimum required)
- Direct Compliance Target (enables ships to earn surplus emissions credits)
Global Economic Measure
- Ships emitting above their allowed GFI threshold must purchase remedial units to offset excess emissions.
- Conversely, vessels that exceed performance targets or use zero/near-zero GHG fuels will earn surplus units, which can be banked, traded, or sold.
IMO Net-Zero Fund
- A new global fund will collect emissions-related contributions and redistribute them to:
- Reward low-emission ships
- Support innovation, R&D, and infrastructure, especially in developing countries
- Fund training, technology transfer, and capacity building
- Offset negative impacts on vulnerable states such as Small Island Developing States (SIDS) and Least Developed Countries (LDCs)
Compliance and Enforcement Mechanism
To meet GFI compliance, ships will be able to:
- Use banked surplus units
- Trade units with other vessels
- Acquire remedial units through contributions to the IMO Net-Zero Fund
This structure creates a market-based incentive system, pushing shipping operators to invest in cleaner technologies and fuels while penalizing emissions-intensive practices.
Implementation Timeline
The road to full enforcement is outlined as follows:
- October 2025: Formal adoption of amendments at an extraordinary MEPC session (MEPC/ES.2)
- Spring 2026 (MEPC 84): Approval of detailed implementation and compliance guidelines
- 2027: Official entry into force (16 months post-adoption, per MARPOL procedures)
Additional MEPC 83 Outcomes
Beyond the net-zero framework, MEPC 83 also approved or advanced several other critical environmental measures:
- 2025 Action Plan to combat marine plastic litter
- Progress in the Ballast Water Management Convention review
- Approval of new Emission Control Area (ECA) for the North-East Atlantic
- Initial approval for two new Particularly Sensitive Sea Areas off the Pacific coasts of South America
- Draft guidelines for Onboard Carbon Capture Storage (OCCS) system regulation
- Amendments to data transparency rules under MARPOL Annex VI, including the IMO Data Collection System (DCS)
- Adoption of updates to carbon intensity reduction guidelines (CII G3)
- New mandate to develop a legally binding framework for biofouling management, to prevent the spread of invasive marine species
A Just and Equitable Transition
The IMO emphasized that the net-zero transition must be inclusive and equitable, particularly for developing nations. By channeling emissions-related revenues into technical assistance, infrastructure development, and capacity building, the IMO Net-Zero Framework seeks to create shared global benefits and reduce disproportionate burdens.
A Turning Point for Maritime Decarbonization
The approval of this framework marks a pivotal moment in the maritime industry’s climate journey. By embedding emissions standards and economic incentives into international law, the IMO has laid the groundwork for a more sustainable, competitive, and climate-resilient global shipping sector.
“This is the beginning of a new era for global shipping—an era where decarbonization is no longer aspirational, but operational,” said one IMO delegate.
The world will now look toward October 2025, when the IMO is expected to formally adopt these amendments—making shipping the first global industry with a unified, enforceable path to net-zero emissions.