The report highlights the risks of relying too heavily on biofuels without adequate sustainability safeguards. One of the biggest challenges is the indirect land-use change effect, particularly for biofuels derived from palm and soybean oil. While these fuels are often promoted as renewable alternatives, their production can drive deforestation, disrupt ecosystems, and ultimately generate more emissions than the fossil fuels they replace. If regulatory frameworks fail to account for these indirect emissions, the shipping sector may unintentionally worsen the climate crisis rather than mitigate it.
Another primary concern is the scale of demand for biofuels under the new decarbonization strategy. The shipping industry will have to compete with aviation, road transport, and other sectors that are also looking to use biofuels as a cleaner energy option. This growing demand could place excessive pressure on agricultural land and food supplies. The report estimates that by 2040, the amount of land required to produce enough biofuels for shipping alone could be equivalent to the size of Zimbabwe. With food insecurity already a global issue, redirecting agricultural resources toward fuel production could have severe economic and humanitarian consequences, particularly in vulnerable regions.
To mitigate these risks, the report calls for stricter regulations on biofuel feedstocks and a shift toward more sustainable alternatives. Eliminating high-risk sources like palm and soybean oil and focusing on advanced biofuels from cellulosic waste and non-food crops could improve the environmental performance of maritime biofuels. However, even with these measures, biofuels alone may not be enough to meet the shipping sector’s long-term decarbonization needs. The report stresses the importance of investing in electrofuels, which are produced using renewable electricity and offer a lower-impact alternative to conventional biofuels.
Beyond fuel choices, improving energy efficiency in shipping could significantly reduce emissions. Technologies such as wind-assisted propulsion, hull modifications, and slow steaming can decrease fuel consumption while lowering costs for operators. A combination of cleaner fuels and efficiency improvements will likely be the most effective way to cut emissions in a way that is both sustainable and economically viable.
Biofuels will continue to play a role in shipping’s transition away from fossil fuels, but their use must be carefully managed. The IMO’s policies should include stricter sustainability criteria, clear emissions accounting, and stronger incentives for investing in alternative technologies. Without these safeguards, the push for biofuels could create new environmental problems rather than solving the existing ones. A more balanced approach that integrates biofuels with electrofuels, efficiency upgrades, and broader sustainability measures will be essential to ensure the shipping industry’s shift toward net-zero emissions is both effective and responsible.
