The EU ETS has halved emissions from stationary industry since 2005, but shipping presents a different challenge. Unlike power plants, vessels can reroute to avoid carbon costs, making regulatory arbitrage a real risk. The article argues that pricing alone won't drive decarbonization in shipping without operational changes at ports and among cargo owners. Key takeaway: Cutting emissions from shipping requires coordination between ports, terminals, and shippers to reduce waste like anchorage waiting times. The EU ETS review is ongoing, but the real test is whether emissions actually fall at the berth level, not just on paper.
