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Sustainable Energy Transition in Shipping through Agreements, Industrial Leadership and Subsidies

Project description

Charting a sustainable course for European maritime shipping

Carbon-neutral shipping is a large part of the EU’s climate targets, but the investment required for the industry to transition to alternative maritime fuels (AMF) is not being met, mainly due to market uncertainty. As such, the companies in this sector still prefer relatively inexpensive alternatives to adopting future-proof, sustainable solutions such as ammonia or methanol. With support from the Marie Sklodowska-Curie Actions programme, the SET-SAILS project plans to fill this gap through research into ways in which the adoption of AMF can be fostered by competition policies and industrial leadership within the EU. The goal is to provide policymakers with actionable recommendations on sustainability agreements and public-private funding in order to de-risk investments.

Objective

The Sustainable Energy Transition in Shipping through Agreements, Industrial Leadership and Subsidies (SET-SAILS) project explores how competition and industrial policy can contribute to the market uptake of a future-proof alternative maritime fuel (AMF).
To meet global and EU climate targets, the EU shipping industry is called upon to phase out conventional fossil fuels in favour of AMF, which encompass technologies with a different degree of market-readiness (liq.natural gas, biofuels, methanol, ammonia, etc.). So far, AMF account for a small fraction of total fuel demand and the high level of uncertainty on which AMF will become the next market standard undermines investments. Absent a comprehensive strategy for the AMF market uptake, the EU only prescribes a gradual reduction in carbon intensity of ships, while leaving the task of identifying the ‘winning’ AMF up to market forces. Hence, shipping companies and ports have an incentive in choosing less costly, short-term options, which diverts resources from AMFs that are more economically efficient and sustainable in the long term.
By combining legal and economic research methodologies in the field of competition policy and transport policy, SET-SAILS provides the first extensive theoretical and qualitative analysis of AMF market dynamics and regulators’ practice within the EU. International workshops and a stakeholder survey will provide further evidence that will be translated into recommendations to policy-makers. A detailed map of the market ecosystem and regulatory framework will be drawn for each AMF type, while possible sustainability agreements between port and shipping operators will be assessed, as well as public-private funding to de-risk investments in AMF.
SET-SAILS will be developed under the supervision of Prof.Thierry Vanelslander, a leading authority in shipping and port economics, and will benefit from the full support of the Department of Transport and Regional Economics of Antwerp University.

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HORIZON-TMA-MSCA-PF-EF - HORIZON TMA MSCA Postdoctoral Fellowships - European Fellowships

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(opens in new window) HORIZON-MSCA-2025-PF

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Coordinator

UNIVERSITEIT ANTWERPEN
Net EU contribution

Net EU financial contribution. The sum of money that the participant receives, deducted by the EU contribution to its linked third party. It considers the distribution of the EU financial contribution between direct beneficiaries of the project and other types of participants, like third-party participants.

€ 200 400,00
Address
PRINSSTRAAT 13
2000 Antwerpen
Belgium

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Region
Vlaams Gewest Prov. Antwerpen Arr. Antwerpen
Activity type
Higher or Secondary Education Establishments
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Total cost

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