Members of group 4 : Hong Quan. Ngoc Ha. Hai Dang. Khanh Tran. Thuy My. Thu Thao.

Thien Van. Khanh Linh. Bao Hanh

Topic: In the Switch to Green Ship Fuels, What Comes First — Investment or
Demand?
SUMMARY
They want to reduce the carbon emissions in the ocean shipping
industry. The amount of carbon dioxide is higher day by day, which is nearly 1

billion mt.
The UN'IMO aim to cut down greenhouse emissions and The World

Shipping Council release 6 pathways to achieve this goal (Establishment of a

global price for carbon, A Green Corridors Program,…). Key action is to switch

to green fuel but the cost is the problem. Because green fuels are 2 or 3 times
more expensive than current fuels, your company cannot compete with

competitors using conventional fuels. Besides that, the shipping industry need
to invest in new ships and new fuel systems.

Regulators need to step in by setting a carbon price and reaching

agreement on which fuel types to use, leveling up the cost across all carriers in

order to reduce the cost difference between them.

Finally, we choose to invest first but we need a big spike in demand for

alternative fuels and we’ve got to start investing in assets right now that can
use green fuels.”