Mariners Digest
EU ETS for shipping in 2026: 70% surrendered, 100% from 2027
Since January 2024 the EU Emissions Trading System has covered emissions from ships of 5,000 GT and above calling at EU ports. In 2026 shipping companies surrendered allowances for 70% of their 2025 emissions by 30 September. From 2026 the system also counts methane and nitrous oxide, and the 2026 emissions are the first to be surrendered in full, by 30 September 2027.
Phase-in and deadlines
Share of reported emissions that must be covered by allowances, as published by the European Commission.
| Emissions of | Share to surrender | Surrender by |
|---|---|---|
| 2024 | 40% | 30 September 2025 |
| 2025 | 70% | 30 September 2026 |
| 2026 | 100% (CO2, plus CH4 and N2O from 2026) | 30 September 2027 |
| 2027 onwards | 100% | 30 September of the following year |
The verified emissions report for a year is due by 31 March of the next year (28 February if the administering authority asks). Sources: European Commission, “Reducing emissions from the shipping sector” and “FAQ – Maritime transport in EU Emissions Trading System”, both read on 13 November 2026.
Who and what is covered
- Ships: 5,000 GT and above, regardless of flag. Offshore ships of 5,000 GT and above come in from 2027.
- Smaller ships: general cargo and offshore ships of 400 to 5,000 GT have reported under the EU MRV Regulation since 1 January 2025; their inclusion in the ETS is to be considered in the ETS review.
- Voyages: 100% of emissions between two EU ports and while in EU ports; 50% of emissions on voyages that start or end outside the EU.
- Gases: CO2 since 2024; methane (CH4) and nitrous oxide (N2O) from 2026.
- Who pays: the “shipping company” — the owner, or the manager or bareboat charterer that has taken over responsibility for the ship under the ISM Code. Without an explicit decision, the registered owner is responsible.
- Which EU country: a company registered in a Member State is handled by that state; one registered outside the EU by the Member State with the most estimated port calls in the last four monitoring years.
Sources: European Commission, shipping sector page and maritime ETS FAQ.
Penalties and special cases
- Penalty: EUR 100 per tonne of CO2 equivalent not covered (corrected for inflation); the missing allowances must still be surrendered and the company’s name is published.
- Repeated failure: after two or more consecutive periods, an expulsion order can be issued; EU ports then refuse the company’s ships, and EU-flagged ships may be detained.
- Ice class: ships of ice class IA, IA Super or equivalent may surrender 5% fewer allowances than their verified emissions, until 31 December 2030.
- Small islands: until 31 December 2030, certain non-cruise passenger ships and ro-pax ferries on listed routes to islands with fewer than 200,000 permanent residents and no road or rail link do not surrender allowances.
- Next change: on 17 July 2026 the Commission proposed a targeted revision of the ETS that includes strengthening it for maritime transport; it says the details will follow. This page will be updated when they are published.
Sources: maritime ETS FAQ (penalties, ice class, islands) and the shipping sector page (17 July 2026 proposal). See also FuelEU Maritime in 2026, the EU rule on the fuel itself.
Questions
What percentage of emissions must shipping companies surrender in 2026?
70% of the emissions reported for 2025. The phase-in is 40% of 2024 emissions (surrendered in 2025), 70% of 2025 emissions (surrendered in 2026) and 100% of reported emissions from 2027 onwards.
What is the surrender deadline?
Allowances are surrendered by 30 September each year for the emissions of the previous year. The verified emissions report is due by 31 March, or by 28 February if the administering authority asks for it.
Which ships are covered?
Ships of 5,000 gross tonnage and above, whatever flag they fly. Offshore ships of 5,000 GT and above come in from 2027. General cargo and offshore ships between 400 and 5,000 GT have been in the EU MRV (monitoring and reporting) since 1 January 2025; whether they join the ETS is part of the ETS review.
Which voyages count?
100% of emissions on voyages between two EU ports and while ships are within EU ports, and 50% of emissions on voyages that start or end outside the EU.
What changes for 2026 emissions?
From 2026 the ETS covers methane (CH4) and nitrous oxide (N2O) as well as CO2, and the emissions of 2026 are the first to be surrendered in full (100%, by 30 September 2027).
Who has to surrender the allowances?
The shipping company: the shipowner or another entity, such as the manager or bareboat charterer, that has taken over responsibility for operating the ship under the ISM Code. If no such decision is made, the registered owner is responsible by default.
What happens if a company does not surrender enough allowances?
It pays an excess emissions penalty of EUR 100 per tonne of CO2 equivalent, corrected for inflation, and still has to surrender the missing allowances. The names of penalised companies are published. After two or more consecutive periods of non-compliance, an expulsion order can follow and EU ports refuse the company's ships; EU-flagged ships may be detained.
Mariners Digest is made by CryoSim. It is not affiliated with or endorsed by the European Commission. This page summarises the Commission’s published pages in CryoSim’s own words and is not legal advice; the EU legal texts always take precedence. Published 2026-11-13, updated 2026-11-13. See also IMO MEPC 85: what to watch, how to use Mariners Digest and Mariners Digest.
