This week's topic was Bunker Fuels. What fuels? Bunker fuels refer to the fuels used for maritime and aviation transport. Due to rising short-haul flights and demand for cruises and shipping of products, the emissions from bunker fuels are rising fast. Some statistics claim the increase from aviation emissions is in the 80th percentile just in the past 10 years! Basement-bargain airfares and travel packages has increased demand for shorter trips tremendously, and also increased the need for growing fleet sizes. In fact, aircraft fleets are increasing far faster than technological improvements on fuel efficiency.Bunker fuels are not currently included in emissions accounting because at the time of writing the Kyoto Protocol, no one was sure of how to deal with them. They are supposed to be managed by the United Nations-run International Marine Organization (IMO) and International Civil Aviation Organization (ICAO), but both groups have shown no mitigation efforts, and very little progress on sorting out accounting rules.
There are a few proposals on the table for how to deal with these fuels. They all are based on a similar framework: a cap is placed on the emissions allowed from the entire sector, regardless of which country owns the ship/plane, what route is taken, where it ends up, or where it started, or what it's carrying. The cap is intentionally set to be lower than the current emissions, because the intent is to encourage the industry to reduce emissions. Credits or offset allowances can be bought by the industry through emissions trading schemes such as the Clean Development Mechanism, or the European Union's Emission Trading Scheme. Some proposals involve placing a levy, either on the fuel purchased, the passenger ticket price, or the passenger emissions per kilometre. The levy, and/or the revenue from buying emissions credits can fund any of the following;
- technological advances in fuel efficiency
- adaptation efforts in developing countries
- other mitigation efforts, such as renewable energy.
The nice thing about these proposals is that they can work within pre-existing mechanisms that everyone has already agreed to - namely, the Joint Implementation, the Clean Development Mechanism, and regional Emission Trading Schemes (ETS) such as that in the EU. The latter becomes tricky with international flights, however. If it is part of a regional ETS, the international flights from outside the region would need a different set-up to be a part of it, and would all have to agree to be part of it. Mechanisms would have to be discussed as to where the credits are purchased from, how many should come from the affected regional ETS, and how it will be distributed. The US, for example, is not supportive of international aviation bunker fuels being mitigated through the EU ETS, possibly because of the consequences of some of these issues.
From the youth perspective, we encourage governments to place a levy on short-haul flights and endorse mitigation under a sectoral approach to help fund developing country efforts at adaptation. Funds should also be allocated to mitigation efforts, such as investment in rail transportation, and bunker fuel efficiency improvements. I don't think the discussion on bunker fuels will be particularly lively or heated this December, but I'll keep my ear open for it, because I do find it an interesting problem, and one that can make qutie a significant difference on international transportation emissions!




