The transportation sector is in the early stages of a profound transformation driven by accelerating Zero Emission Vehicle (ZEV) penetration. The mix of vehicle sales is changing fast in key large markets, with strong policy impetus. Fueling the transportation fleet of the 2030s and 2040s will require a different supply mix that includes more electrons but also more low-carbon liquid or gaseous fuel. What are the capital structures, policies and infrastructure needs of tomorrow’s transport sector? Is the “polilticization of EVs” going to be a challenge in the United States and other markets?
IMO Member States adopted the 2023 IMO Strategy on Reduction of GHG Emissions from Ships, with enhanced targets to tackle harmful emission. Europe is leading the way with EU-ETS, and the maritime sector is accelerating its decarbonization efforts with low-carbon, multi-fuel solutions, including ammonia, methanol, hydrogen and its derivatives, bio-LNG, as well as new technologies, digitalization and other measures. What are the economic, risk and regulatory factors driving this transformation? What is the timeframe for these initiatives to impact the operations of different carrier types?