The International Maritime Organization (IMO) has approved the first global net-zero framework for shipping, combining mandatory fuel standards and emissions pricing. Here's what this means for the future of maritime decarbonization compliance.
On 11 April 2025, the IMO made history by approving a legally binding climate framework to reduce greenhouse gas (GHG) emissions from shipping. This is the first time any industry has introduced both a global fuel standard and a sector-wide carbon pricing mechanism.
The approved draft regulations is set for formal adoption in October 2025 and entry into force in 2027 - target net-zero emissions by around 2050 and will apply to ships over 5,000 gross tonnage, covering around 85% of the sector’s CO₂ emissions.
This marks a structural shift in maritime regulation, moving beyond intent toward implementation.
Ships will be required to reduce their annual greenhouse gas fuel intensity (GFI) over time. This will be measured using a well-to-wake methodology, capturing emissions from production to onboard use.
A market-based mechanism will introduce financial incentives and penalties. Ships emitting above GFI thresholds must purchase remedial units, while low- or zero-emission vessels can earn surplus units and access financial rewards.
A centralized fund will collect contributions from emissions pricing and redistribute them to:
This framework formalizes what the industry has been anticipating, but until now, lacked:
With compliance mechanisms and climate finance embedded in the system, this signals the start of a results-driven phase in maritime decarbonization.
Regulation alone isn’t enough, consistent, science-based methodologies will be critical.
Rasmus Elsborg-Jensen, CEO and founder of ReFlow highlights:
“With well-to-wake GHG intensity targets and compliance credits at the core of the IMO framework, consistent and verifiable data will be a prerequisite — not a nice-to-have.”
The recently introduced ISO 8933 standard for maritime energy efficiency offers one such methodology, providing a consistent way to assess the performance of select products and systems. It supports transparency, comparability, and informed decision-making in a complex regulatory landscape.
At ReFlow, we support maritime stakeholders in meeting these new demands through:
Our mission is to provide the operational clarity needed to meet regulatory ambition, and move the industry toward transparent, data-driven decarbonization.
Need help preparing for the IMO Net-Zero Framework?
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