Where’s Canada as trading partners address global shipping emissions?

World leaders are currently gathered in Glasgow, Scotland, to discuss what their nations can do to help avert the catastrophic consequences of climate change. Previous agreements have focused on how individual countries can cut emissions. Now, countries are also working to address a major source of emissions that lies outside of any one country’s jurisdiction: international shipping. As the COP26 summit began last Monday, a group of 14 countries—including the U.S., Denmark, Belgium, Germany, France, and other major shipping nations—stepped up and issued the “Declaration on Zero Emissions Shipping by 2050.” The nations pledged to push the International Maritime Organization (IMO) to reduce global shipping emissions to zero by 2050 and to establish goals for 2030 and 2040 that define the pathway to full decarbonization. It was an announcement that Canada was conspicuously absent from. Canada has made bold declarations that it will cap emissions from the oil and gas sector and has proposed a global price on carbon, suggesting that our country considers itself a global climate leader. But on shipping emissions—which make up almost three per cent of global emissions and continue to grow—Canada has been silent. This is a shame, because Canada has a lot to lose and a lot to gain depending on the outcome. As a country that is warming at twice the global average (and three times faster in the North), Canada should seize every opportunity to reduce emissions beyond its borders. Prime Minister Justin Trudeau himself noted in his address to COP delegates the drastic changes facing our country, including the tragedy in Lytton, B.C., where the temperature reached almost 50 C last summer before a wildfire destroyed the town. The IMO’s current target is to reduce shipping emissions by just 50 per cent by 2050, which has been blasted by UN Secretary-General António Guterres as “more consistent with warming above 3 C”—1.5 C higher than the limit scientists say is necessary to avoid climate breakdown. There are also economic benefits to being a first mover in the race to decarbonize shipping, which have not been lost on industry. Recently, companies from Amazon to IKEA have pledged to ship their goods on zero-emission vessels by 2040. Maersk, the world’s largest shipping company, is investing $1.4-billion in new ships that can run on carbon-neutral fuels. Canada is in a unique position to be among the leaders of a global charge to reduce shipping emissions and move towards clean fuels such as hydrogen. While we may not have the largest shipping fleet in the world, we import and export more than $1-trillion worth of goods each year just among our fellow G7 countries—much of which moves through our seaports. Canada can also leverage its assets and expertise as a major energy exporter to become a leading provider of clean fuels to the shipping industry. Hydrogen-based fuels are expected to make up more than 60 per cent of total fuel consumption in shipping by 2050; the total market opportunity connected to the decarbonization of international shipping is estimated at up to US$1.9-trillion. If Canada expects to take its share of the hydrogen market, however, we must move quickly to develop hydrogen hubs at our major ports and invest in the deployment of zero-emission port-side equipment, ferries, and harbour craft. As Oceans North noted in our recent report, Charting a Course for Net Zero, developing infrastructure and regulatory protocols must begin now so that Canadian ports will be in position to move hydrogen to market as demand increases. Canadian seaports will be an essential link to demand centres in the EU and Asia. They will also support the development of “green shipping corridors,” which will ensure zero-emission ships have access to fuel along their trade routes. The programs and policies required to advance the maritime energy transition in Canada are already in place. The Clean Fuel Fund, the Net-Zero Accelerator, the proposed Clean Fuel Regulations, and the commitment to decarbonize public transit and government operations all contain the necessary elements of a plan to reduce global shipping emissions. What’s needed now is a strategy. Canada clearly recognizes the need for international solutions and the importance of demonstrating leadership on the world stage. It is time for our country to raise its voice and join our trading partners in recognizing the importance of reducing shipping emissions and the transformative potential of the maritime sector. Brent Dancey is Oceans North’s director of marine climate action. The Hill Times