Legal provisions of COM(2021)562 - Use of renewable and low-carbon fuels in maritime transport

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dossier COM(2021)562 - Use of renewable and low-carbon fuels in maritime transport.
document COM(2021)562 EN
date September 13, 2023

Contents

Chapter I - General provisions


Article 1

Subject matter and objective

This Regulation lays down uniform rules imposing:

(a)a limit on the greenhouse gas (GHG) intensity of energy used on board by a ship arriving at, staying within or departing from ports under the jurisdiction of a Member State; and

(b)an obligation to use on-shore power supply (OPS) or zero-emission technology in ports under the jurisdiction of a Member State.

Its objective in doing so is to increase consistent use of renewable and low-carbon fuels and substitute sources of energy in maritime transport across the Union, in line with the objective of reaching Union-wide climate neutrality at the latest by 2050, while ensuring the smooth operation of maritime transport, creating regulatory certainty for the uptake of renewable and low-carbon fuels and sustainable technologies and avoiding distortions in the internal market.

Article 2

Scope

1. This Regulation applies to all ships of above 5 000 gross tonnage that serve the purpose of transporting passengers or cargo for commercial purposes, regardless of their flag, in respect of:

(a)the energy used during their stay within a port of call under the jurisdiction of a Member State;

(b)the entirety of the energy used on voyages from a port of call under the jurisdiction of a Member State to a port of call under the jurisdiction of a Member State;

(c)notwithstanding point (b), one half of the energy used on voyages arriving at or departing from a port of call located in an outermost region under the jurisdiction of a Member State; and

(d)one half of the energy used on voyages arriving at or departing from a port of call under the jurisdiction of a Member State, where the previous or the next port of call is under the jurisdiction of a third country.

2. By 31 December 2025, the Commission shall adopt implementing acts establishing a list of neighbouring container transhipment ports. The Commission shall update that list by 31 December every two years thereafter.

The implementing acts referred to in the first subparagraph shall list a port as a neighbouring container transhipment port where the share of transhipment of containers, measured in 20 foot equivalent units, exceeds 65 % of the total container traffic of that port during the most recent 12-month period for which relevant data are available and where that port is located outside the Union but less than 300 nautical miles from a port under the jurisdiction of a Member State.

For the purpose of those implementing acts, containers shall be considered to be transhipped when they are unloaded from a ship to a port for the sole purpose of being loaded onto another ship.

The list of neighbouring container transhipment ports established by the Commission shall not include ports located in a third country for which that third country effectively applies measures equivalent to this Regulation.

The implementing acts referred to in the first subparagraph shall be adopted in accordance with the examination procedure referred to in Article 29(3).

3. Member States may exempt from the application of paragraph 1, points (a) and (b) specific routes and ports in respect of the energy used on voyages performed by passenger ships other than cruise passenger ships between a port of call under the jurisdiction of a Member State and a port of call under the jurisdiction of the same Member State located on an island with fewer than 200 000 permanent residents, and in respect of the energy used during their stay within a port of call of that island. No such exemptions shall apply beyond 31 December 2029. Prior to the entry into force of those exemptions, Member States shall notify them to the Commission. The Commission shall publish those exemptions in the Official Journal of the European Union.

4. Member States may exempt from the application of paragraph 1, points (a) and (c) specific routes and ports in respect of the energy used by ships on voyages between a port of call located in an outermost region and another port of call located in an outermost region, and in respect of the energy used during their stay within the ports of call of those outermost regions. No such exemptions shall apply beyond 31 December 2029. Prior to the entry into force of those exemptions, Member States shall notify them to the Commission. The Commission shall publish those exemptions in the Official Journal of the European Union.

5. Member States that do not share a land border with any other Member State may exempt from the application of paragraph 1 passenger ships performing transnational voyages under public service obligations or public service contracts to the ports of call of other Member States. No such exemptions shall apply beyond 31 December 2029. Prior to the entry into force of those exemptions, Member States shall notify them to the Commission. The Commission shall publish those exemptions in the Official Journal of the European Union.

6. Member States may exempt from the application of paragraph 1 passenger ships providing maritime transport services within the meaning of Regulation (EEC) No 3577/92 under public service obligations or public service contracts, operating before 12 October 2023, for the specific routes between their mainland ports of call and ports of call under their jurisdiction located on an island or the cities of Ceuta and Melilla. No such exemptions shall apply beyond 31 December 2029. Prior to the entry into force of those exemptions, Member States shall notify them to the Commission. The Commission shall publish those exemptions in the Official Journal of the European Union.

For the purposes of the application of this paragraph, the cities of Ceuta and Melilla shall be considered as ports of call located on an island.

7. This Regulation does not apply to warships, naval auxiliaries, fish-catching or fish-processing ships, wooden ships of a primitive build, ships not propelled by mechanical means, or ships owned or operated by a government and used only for non-commercial purposes.

Article 3

Definitions

For the purposes of this Regulation, the following definitions apply:

(1)‘greenhouse gas emissions’ or ‘GHG emissions’ means the release of carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O) into the atmosphere;

(2)‘biofuels’ means biofuels as defined in Article 2, second paragraph, point (33), of Directive (EU) 2018/2001;

(3)‘biogas’ means biogas as defined in Article 2, second paragraph, point (28), of Directive (EU) 2018/2001;

(4)‘recycled carbon fuels’ means recycled carbon fuels as defined in Article 2, second paragraph, point (35), of Directive (EU) 2018/2001;

(5)‘renewable fuels of non-biological origin’ (RFNBO) means renewable fuels of non-biological origin as defined in Article 2, second paragraph, point (36), of Directive (EU) 2018/2001;

(6)‘food and feed crops’ means food and feed crops as defined in Article 2, second paragraph, point (40), of Directive (EU) 2018/2001;

(7)‘zero-emission technology’ means a technology that, when used to provide energy, does not result in the release of the following greenhouse gases and air pollutants into the atmosphere by ships: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), sulphur oxides (SOx), nitrogen oxides (NOx) and particulate matter (PM);

(8)‘substitute sources of energy’ means renewable energy generated on board or electricity supplied from OPS;

(9)‘wind-assisted propulsion’ means propulsion, whether partial or full, of a ship by wind energy harnessed by means of wind-assistance propulsion systems such as, inter alia, rotor sails, kites, hard or rigid sails, soft sails, suction wings or turbines;

(10)‘port of call’ means a port where ships stop to load or unload cargo or to embark or disembark passengers with the exclusion of stops for the sole purposes of refuelling, obtaining supplies, relieving the crew, going into dry-dock or making repairs to the ship, its equipment or both; stops in port because the ship is in need of assistance or in distress; ship-to-ship transfers carried out outside ports; stops for the sole purpose of taking shelter from adverse weather or rendered necessary by search and rescue activities; and stops of containerships in a neighbouring container transhipment port listed in the implementing act adopted pursuant to Article 2(2);

(11)‘voyage’ means voyage as defined in Article 3, point (c), of Regulation (EU) 2015/757;

(12)‘outermost region’ means a territory referred to in Article 349 TFEU;

(13)‘company’ means the shipowner or any other organisation or person such as the manager or the bareboat charterer, which has assumed the responsibility for the operation of the ship from the shipowner and has agreed to take over all the duties and responsibilities imposed by the International Management Code for the Safe Operation of Ships and for Pollution Prevention;

(14)‘gross tonnage’ (GT) means gross tonnage as defined in Article 3, point (e), of Regulation (EU) 2015/757;

(15)‘ship at berth’ means ship at berth as defined in Article 3, point (n), of Regulation (EU) 2015/757;

(16)‘ship at anchorage’ means a ship at berth which is not moored at the quayside;

(17)‘energy used on board’ means the amount of energy, expressed in mega joules (MJ), used by a ship for propulsion and for the operation of any onboard equipment, at sea or at berth;

(18)‘well-to-wake’ means a method for calculating emissions that takes into account the GHG impact of energy production, transport, distribution and use on board, including during combustion;

(19)‘GHG intensity of the energy used on board’ means the amount of GHG emissions, expressed in grams of CO2 equivalent established on a well-to-wake basis, per MJ of energy used on board;

(20)‘emission factor’ means the average emission rate of a GHG relative to the activity data of a source stream, assuming complete oxidation for combustion and complete conversion for all other chemical reactions;

(21)‘ice class’ means the notation assigned to the ship by the competent national authorities of the flag state or an organisation recognised by that state, showing that the ship has been designed for navigation in sea-ice conditions;

(22)‘ice edge’ means the demarcation at any given time between the open sea and sea ice of any kind, whether fast or drifting, as set out in paragraph 4.4.8 of the World Meteorological Organisation Sea-Ice Nomenclature, March 2014;

(23)‘sailing in ice conditions’ means the sailing by an ice-class ship in a sea area within the ice edge;

(24)‘on-shore power supply’ (OPS) means the system to supply electricity to ships at berth, at low or high voltage, alternate or direct current, including ship-side and port-side installations, when feeding directly the ship main distribution switchboard for powering hotel and service workloads or charging secondary batteries;

(25)‘electrical power demand at berth’ means the demand for electricity of a ship at berth for meeting all energy needs based on electricity on board;

(26)‘established total electrical power demand of the ship at berth’ means the highest value, expressed in kilowatts, of the total demand for electricity of a ship at berth, including hotel and cargo handling workloads;

(27)‘verifier’ means a legal entity carrying out verification activities, which is accredited by a national accreditation body pursuant to Regulation (EC) No 765/2008 and this Regulation;

(28)‘FuelEU document of compliance’ means a document specific to a ship, issued to a company by a verifier, which confirms that that ship has complied with this Regulation for a specific reporting period;

(29)‘passenger ship’ means a passenger ship as defined in Article 2, point (i), of Directive (EU) 2016/802 of the European Parliament and of the Council (23);

(30)‘cruise passenger ship’ means a passenger ship that has no cargo deck and is designed exclusively for commercial transportation of passengers in overnight accommodation on a sea voyage;

(31)‘containership’ means a ship designed exclusively for the carriage of containers in holds and on deck;

(32)‘non-compliant port call’ means a port call during which the ship does not comply with the requirement set out in Article 6(1), and to which none of the exceptions provided for in Article 6(5) apply;

(33)‘least favourable pathway’ means the most carbon-intensive production pathway used for any given fuel;

(34)‘CO2 equivalent’ means the metric measure used to compute the emissions from CO2, CH4 and N2O on the basis of their global-warming potential, by converting amounts of CH4 and N2O to the equivalent amount of CO2 with the same global warming potential;

(35)‘compliance balance’ means the measure of a ship’s over- or under-compliance with regard to the limits for the yearly average GHG intensity of the energy used on board by a ship or the RFNBO subtarget, which is calculated in accordance with Part A of Annex IV;

(36)‘compliance surplus’ means a compliance balance with a positive value;

(37)‘compliance deficit’ means a compliance balance with a negative value;

(38)‘total pool compliance balance’ means the sum of the compliance balances of all ships included in the pool;

(39)‘managing body of the port’ means managing body of the port as defined in Article 2, point (5), of Regulation (EU) 2017/352;

(40)‘administering State’ means a Member State determined by applying Article 3gf(1) of Directive 2003/87/EC in relation to a company within the meaning of this Regulation, without prejudice to the choice of the competent authorities in charge within the relevant Member State;

(41)‘reporting period’ means a period from 1 January to 31 December of the year during which information referred to in this Regulation is monitored and recorded, where data for voyages starting and ending in two different calendar years is accounted under the calendar year concerned;

(42)‘verification period’ means the calendar year directly following the reporting period.

Chapter II - Requirements for energy used on board by ships


Article 4

GHG intensity limit on energy used on board by a ship

1. The yearly average GHG intensity of the energy used on board by a ship during a reporting period shall not exceed the limit set out in paragraph 2.

2. The limit referred to in paragraph 1 shall be calculated by reducing the reference value of 91,16 grams of CO2 equivalent per MJ by the following percentage:

—2 % from 1 January 2025;

—6 % from 1 January 2030;

—14,5 % from 1 January 2035;

—31 % from 1 January 2040;

—62 % from 1 January 2045;

—80 % from 1 January 2050.

3. The GHG intensity of the energy used on board by a ship shall be calculated as the amount of GHG emissions per unit of energy in accordance with the methodology set out in Annex I.

4. The Commission is empowered to adopt delegated acts in accordance with Article 28 to amend Annex II in order to include the well-to-wake emission factors related to any new sources of energy or to adapt the existing emission factors to ensure consistency with future international standards or Union legal acts in the field of energy, in accordance with the best available scientific and technical knowledge.

Article 5

Use of Renewable Fuels of Non-Biological Origin

1. For the calculation of the GHG intensity of the energy used on board by a ship, from 1 January 2025 to 31 December 2033 a multiplier of ‘2’ can be used to reward the ship for the use of RFNBO. The methodology for this calculation is set out in Annex I.

2. The Commission shall monitor, calculate and annually publish, on the basis of the data recorded in the FuelEU database referred to in Article 19 and at the latest 18 months after the end of each reporting period, the share of RFNBO in the yearly energy used on board by ships falling under the scope of this Regulation.

3. If the share of RFNBO referred to in paragraph 2 is less than 1 % for the reporting period 2031, a subtarget of 2 % shall apply for such fuels in the yearly energy used on board by a ship from 1 January 2034, subject to paragraph 5.

4. Paragraph 3 shall not apply where the monitoring results provided for in paragraph 2 that are available before 1 January 2033 demonstrate that the share referred to in paragraph 2 is more than 2 %.

5. If, based on the monitoring activities referred to in paragraph 2 and following the Commission’s assessment, there is evidence of insufficient production capacity and availability of RFNBO to the maritime sector, uneven geographical distribution or a too high price of those fuels, the subtarget provided for in paragraph 3 shall not apply.

6. The Commission shall adopt implementing acts specifying the criteria for the assessment provided for in paragraph 5 and the method for calculating the factor of price difference between RFNBO and fossil fuels used in cell 14 of the table in Part B of Annex IV. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

7. The Commission is empowered to adopt delegated acts in accordance with Article 28 to:

(a)supplement paragraph 5 of this Article with additional elements;

(b)inform about the non-applicability of the subtarget referred to in paragraph 3 of this Article, resulting from the monitoring referred to in paragraph 2 of this Article or the assessment referred to in paragraph 5 of this Article.

8. Where the subtarget referred to in paragraph 3 of this Article applies, the Commission shall adopt, by 31 December 2033, implementing acts to further specify the rules for the application of paragraph 3 of this Article as regards:

(a)verification and calculation as referred to in Article 16;

(b)applicable flexibility mechanisms set out in Articles 20 and 21;

(c)applicable FuelEU penalties as referred to in Article 23 and Annex IV.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

9. The subtarget referred to in paragraph 3 of this Article, if applicable, shall not apply to a ship which demonstrates that the same share of the yearly energy used on board is met by other fuels that provide equivalent GHG emissions savings and are certified pursuant to Article 10 of this Regulation, excluding biofuels referred to in Part B of Annex IX to Directive (EU) 2018/2001.

10. This Article shall not apply to the share of yearly energy used on board by ships from OPS.

Article 6

Additional zero-emission requirements for energy used at berth

1. From 1 January 2030, a ship moored at the quayside in a port of call which is covered by Article 9 of Regulation (EU) 2023/1804 and which is under the jurisdiction of a Member State shall connect to OPS and use it for all its electrical power demand at berth.

2. From 1 January 2035, a ship moored at the quayside in a port of call which is not covered by Article 9 of Regulation (EU) 2023/1804, which is under the jurisdiction of a Member State and where the quay is equipped with available OPS shall connect to that OPS and use it for all its electrical power demand at berth.

3. From 1 January 2030 and until 31 December 2034, and after consulting relevant stakeholders, including, where appropriate, the managing body of the port, a Member State may decide that a ship moored at the quayside in a port of call under its jurisdiction which is not covered by Article 9 of Regulation (EU) 2023/1804, or in certain parts of such port, shall connect to OPS and use it for all its electrical power demand at berth. The Member State shall notify its decision imposing such requirement to the Commission a year prior to the application thereof. Such decision must apply from the beginning of a reporting period. The Commission shall publish the information in the Official Journal of the European Union and make publicly available an updated list of the ports concerned. Such list shall be easily accessible.

4. Paragraphs 1, 2 and 3 shall apply to:

(a)containerships;

(b)passenger ships.

5. Paragraphs 1, 2 and 3 shall not apply to ships that:

(a)are moored at the quayside for less than two hours, calculated on the basis of time of arrival and time of departure monitored and recorded in accordance with Article 15;

(b)use zero-emission technologies which comply with the general requirements for such technologies provided for in Annex III and are listed and specified in the delegated and implementing acts adopted in accordance with paragraphs 6 and 7 of this Article, for all their electrical power demand at berth, while moored at the quayside;

(c)due to unforeseen circumstances beyond the control of the ship, have to make an unscheduled port call, which is not made on a systematic basis, for reasons of safety or saving life at sea, other than those already excluded under Article 3, point (10);

(d)are unable to connect to OPS due to the unavailability of OPS connection points in a port;

(e)are unable to connect to OPS because exceptionally the electrical grid stability is at risk, due to insufficient available shore-power to satisfy the ship’s required electrical power demand at berth;

(f)are unable to connect to OPS because the shore installation at the port is not compatible with the onboard on-shore power equipment, provided that the installation for shore-connection on board the ship is certified in accordance with the technical specifications set out in Annex II to Regulation (EU) 2023/1804 for the shore-connection systems of seagoing ships;

(g)for a limited period of time, require the use of onboard energy generation, under emergency situations representing immediate risk to life, the ship or the environment or for other reasons of force majeure;

(h)while remaining connected to OPS, for a period of time limited to what is strictly necessary, require the use of onboard energy generation for maintenance tests or for functional tests carried out at the request of an officer of a competent authority or the representative of a recognised organisation undertaking a survey or inspection.

6. The Commission is empowered to adopt and regularly update delegated acts in accordance with Article 28 in order to amend the non-exhaustive table set out in Annex III by adding other zero-emission technologies, within the meaning of Article 3, point (7).

7. The Commission may adopt implementing acts to establish the detailed criteria for acceptance, including the definition of system boundaries and certification requirements, to be considered as fulfilling the general requirements for zero-emission technologies provided for in Annex III, including its future updates.

For the list of existing technologies provided for in Annex III, those implementing acts shall be adopted by 30 June 2024, where applicable. For any new technologies, those implementing acts shall be adopted, where other technologies as referred to in Annex III become available, without undue delay.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

8. Ships shall inform in advance the competent authority of the Member State of the port of call or any duly authorised entity prior to entry into ports about their intention to connect to OPS or their intention to use a zero-emission technology in application of paragraph 5, point (b). Ships that intend to connect to OPS shall also indicate the amount of power they expect to require during that port call.

Upon receipt of the information from a ship regarding the connection to OPS referred to in the first subparagraph, the competent authority of the Member State of the port of call or any duly authorised entity shall confirm to the ship whether connection to OPS is available.

The Commission shall adopt implementing acts specifying the information to be provided in accordance with the first and second subparagraphs, as well as the procedure for providing that information. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

9. The competent authority of the Member State of the port of call or any duly authorised entity, after consulting the managing body of the port where appropriate, shall determine and record in the FuelEU database, without delay, the following information:

(a)the application of an exception set out in paragraph 5;

(b)the non-compliance of a ship with the requirements set out in paragraphs 1, 2 and 3 where none of the exceptions set out in paragraph 5 apply.

10. From 1 January 2035, in ports falling under the requirements of Article 9 of Regulation (EU) 2023/1804, it shall only be possible to apply the exceptions provided for in paragraph 5, points (d), (e) and (f) to a maximum number of port calls corresponding to 10 % of a ship’s total number of port calls that took place during a reporting period, rounded up to the nearest whole number, where relevant, or to a maximum of 10 port calls during the relevant reporting period, whichever is lower.

A port call shall not be counted for the purposes of compliance with this provision where the company demonstrates, on the basis of the exchange of information provided for in paragraph 8, that it could not have reasonably known that the ship would be unable to connect to OPS for any of the reasons referred to in paragraph 5, points (d), (e) or (f).

11. A Member State may decide that, in a port or in certain parts of a port under its jurisdiction, containerships or passenger ships at anchorage are covered by the same obligations set out in this Regulation applicable to ships moored at the quayside. The Member State shall notify its decision imposing such requirement to the Commission a year prior to the application thereof. Such decision must apply from the beginning of a reporting period. The Commission shall publish the information in the Official Journal of the European Union and make publicly available an updated list of the ports concerned. Such list shall be easily accessible.

Chapter III - Common principles and certification


Article 7

Common principles for monitoring and reporting

1. In accordance with Articles 8, 9 and 10, companies shall, for each of their ships, monitor and report on the relevant data during a reporting period. They shall carry out that monitoring and reporting within all ports under the jurisdiction of a Member State and for any voyages referred to in Article 2(1).

2. Monitoring and reporting shall be complete and cover the energy used on board by ships at any time, whether at sea or at berth. Companies shall apply appropriate measures to prevent any data gaps within the reporting period.

3. Monitoring and reporting shall be consistent and comparable over time. To that end, companies shall use the same monitoring methodologies and data sets subject to modifications assessed by the verifier. Companies shall enable reasonable assurance of the integrity of the data to be monitored and reported.

4. Companies shall obtain, analyse and store, for at least five years, all monitoring data and documentation, including assumptions, references, emission factors, fuel bunker delivery notes as complemented in accordance with Annex I and activity data, and any other information needed to verify compliance with this Regulation, in a transparent and accurate manner, in paper or electronic form, so that the verifier is able to determine the GHG intensity of the energy used on board by ships.

5. In undertaking the monitoring and reporting activities set out in Articles 8, 9, 10 and 15 of this Regulation, information and data collected for the purposes of Regulation (EU) 2015/757 shall be used where appropriate.

Article 8

Monitoring plan

1. By 31 August 2024, companies shall submit to the verifiers a monitoring plan for each of their ships indicating the method chosen from among methods set out in Annex I for monitoring and reporting the amount, type and emission factor of energy used on board by ships and other relevant information.

2. For ships falling under the scope of this Regulation for the first time after 31 August 2024, companies shall submit a monitoring plan to the verifier without undue delay and no later than two months after each ship’s first call at a port under the jurisdiction of a Member State.

3. The monitoring plan shall consist of a complete and transparent documentation and shall contain at least the following elements:

(a)the identification and type of the ship, including its name, its International Maritime Organization (IMO) identification number, its port of registry or home port, and the name of the shipowner;

(b)the name of the company and the address, telephone and e-mail details of a contact person;

(c)a description of the energy conversion systems installed on board, and the related power capacity expressed in megawatt (MW);

(d)for ships referred to in Article 6(4), point (b), a description of the standards and characteristics of the equipment to allow connection to OPS, or a zero-emission technology;

(e)the value of the established total electrical power demand of the ship at berth, as provided in its electrical load balance or electrical load study used to demonstrate compliance with Regulations 40 and 41 of Chapter II-1 of the International Convention for the Safety of Life at Sea (SOLAS), as approved by its flag administration or a recognised organisation as defined in the IMO Code for Recognized Organizations adopted by resolutions MEPC.237(65) and MSC.349(92). If a ship is not able to provide that reference, the value considered is 25 % of the total of the maximum continuous ratings of the main engines of the ship as specified in their EIAPP certificate delivered in application of the International Convention for the Prevention of Pollution from Ships (MARPOL) or, if the engines are not required to have an EIAPP certificate, on the nameplate of the engines;

(f)a description of the intended sources of energy to be used on board while in navigation and at berth to comply with the requirements set out in Articles 4 and 6;

(g)a description of the procedures for monitoring the fuel consumption of the ship as well as the energy provided by substitute sources of energy or a zero-emission technology;

(h)a description of the procedures for monitoring and reporting the well-to-tank and tank-to-wake emission factors of energy to be used on board, in accordance with the methods specified in Article 10 and Annexes I and II;

(i)a description of the procedures used to monitor the completeness of the list of voyages;

(j)a description of the procedures used for determining activity data per voyage, including the procedures, responsibilities, formulas and data sources for determining and recording the time spent at sea between the port of departure and the port of arrival and the time spent at berth;

(k)a description of the procedures, systems and responsibilities used to update any of the data contained in the monitoring plan over the reporting period;

(l)a description of the method to be used to determine surrogate data that can be used for closing data gaps or for identifying and correcting data errors;

(m)a revision record sheet to record all details of the revision history;

(n)where the company requests to exclude the additional energy used due to the ship’s ice class from the calculation of the compliance balance set out in Annex IV, information on the ice class of the ship;

(o)where the company requests to exclude the additional energy used due to sailing in ice conditions from the calculation of the compliance balance set out in Annex IV, information on the ice class of the ship and a description of a verifiable procedure for monitoring the distance travelled for the whole voyage as well as the distance travelled when sailing in ice conditions, the date, time and position when entering and leaving the ice conditions and the fuel consumption when sailing in ice conditions;

(p)for a ship equipped with wind-assisted propulsion, a description of the installed wind propulsion equipment on board and the values of PWind and PProp as defined in Annex I.

4. Companies shall use standardised monitoring plans based on templates. The Commission shall adopt implementing acts determining those templates, including the technical rules for their uniform application. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

Article 9

Modifications to the monitoring plan

1. Companies shall check regularly, and at least annually, whether a ship’s monitoring plan reflects the nature and functioning of the ship and whether any of the data it contains can be improved, corrected or updated.

2. Companies shall modify the monitoring plan without undue delay where any of the following situations occurs:

(a)a change of company;

(b)new energy conversion systems, new types of energy, new systems for connection to OPS, or new substitute sources of energy or new zero-emission technologies enter into use;

(c)a change in availability of data, due to the use of new types of measuring equipment, new sampling methods or analysis methods, or for other reasons, may affect the accuracy of the data collected;

(d)companies, verifiers or competent authorities have found that data resulting from the monitoring method applied are incorrect;

(e)verifiers have identified any part of the monitoring plan as not being in conformity with the requirements of this Regulation and the company is required by the verifier to revise it in accordance with Article 11(1);

(f)companies, verifiers or competent authorities have found that the methods to prevent data gaps and identify data errors are inadequate to ensure data accuracy, completeness and transparency.

3. Companies shall notify to the verifiers without undue delay any proposals for modification of the monitoring plan.

Article 10

Certification of fuels and emission factors

1. Where biofuels, biogas, RFNBO and recycled carbon fuels, as defined in Directive (EU) 2018/2001, are to be taken into account for the purposes referred to in Article 4(1) of this Regulation, the following rules apply:

(a)biofuels and biogas that do not comply with the sustainability and GHG emissions saving criteria set out in Article 29 of Directive (EU) 2018/2001 or that are produced from food and feed crops shall be considered to have the same emission factors as the least favourable fossil fuel pathway for that type of fuel;

(b)RFNBO and recycled carbon fuels that do not comply with the GHG emissions savings threshold set out in Article 25(2) of Directive (EU) 2018/2001 shall be considered to have the same emission factors as the least favourable fossil fuel pathway for that type of fuel.

2. Fuels not covered in paragraph 1 shall be considered to have the same emission factors as the least favourable fossil fuel pathway for the type of fuel in question, unless they have been certified in accordance with Union legal acts concerning the internal markets in renewable and natural gases and in hydrogen, establishing a GHG emissions savings threshold and an associated methodology to calculate GHG emissions from production of such fuels.

3. On the basis of the fuel bunker delivery notes complemented in accordance with Annex I to this Regulation, companies shall provide accurate, complete and reliable data on the GHG emission intensity and the sustainability characteristics of fuels to be taken into account for the purposes referred to in Article 4(1) of this Regulation that have been certified under a scheme that is recognised by the Commission in accordance with Article 30(5) and (6) of Directive (EU) 2018/2001 or, where applicable, the relevant provisions of Union legal acts concerning the internal markets in renewable and natural gases and in hydrogen.

4. Companies shall not diverge from the default values for the well-to-tank emission factors set out in Annex II to this Regulation for fossil fuels. Without prejudice to paragraph 1, companies shall be entitled to diverge from the default values for the well-to-tank emission factors set out in Annex II to this Regulation provided that actual values are certified under a scheme that is recognised by the Commission. That certification shall be done, for biofuels, biogas, RFNBO and recycled carbon fuels, in accordance with Article 30(5) and (6) of Directive (EU) 2018/2001 or, where applicable, in accordance with the relevant provisions of Union legal acts concerning the internal markets in renewable and natural gases and in hydrogen.

5. Companies shall be entitled to diverge from the default values for the tank-to-wake emission factors set out in Annex II, with the exception of tank-to-wake CO2 emission factors for fossil fuels, provided that actual values are certified by means of laboratory testing or direct emissions measurements.

6. The Commission shall adopt implementing acts in order to specify which international standards and certification references are accepted for demonstration of actual tank-to-wake emission factors. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

Chapter IV - Verification and accreditation


Article 11

Assessment of the monitoring plan and of the modified monitoring plan

1. For each ship and in the event of a change of verifier, the verifier shall assess the conformity of the monitoring plan with the requirements set out in Articles 7, 8 and 9. Where the verifier’s assessment identifies non-conformities with those requirements, the company concerned shall without undue delay revise its monitoring plan accordingly and submit the revised plan for a final assessment by the verifier before the reporting period starts. The company concerned shall agree with the verifier on the time-frame necessary to introduce those revisions. That timeframe shall in any event not extend beyond the beginning of the reporting period.

2. Modifications to the monitoring plan under Article 9(2), points (b), (c) and (d), shall be subject to an assessment by the verifier. Following that assessment, the verifier shall notify the company concerned whether those modifications are in conformity with the requirements set out in Articles 7, 8 and 9.

3. Once the monitoring plan and the modified monitoring plan have been satisfactorily assessed, the verifier shall record them in the FuelEU database. The monitoring plan and the modified monitoring plan shall be accessible to the administering State.

Article 12

General obligations and principles for the verifiers

1. The verifier shall be independent from the company or from the ship operator and shall carry out the activities required under this Regulation in the public interest. For that purpose and in order to avoid potential conflicts of interest, neither the verifier nor any part of a legal entity of which it is part shall be a company, ship operator or the owner of a company. In addition, the verifier shall not be owned by a company, ship operator or the owner of a company nor shall it have relations with a company that could affect its independence and impartiality.

2. The verifier shall assess the reliability, credibility, accuracy and completeness of the data and information relating to the amount, type and emission factor of the energy used on board by ships, in particular:

(a)the attribution of fuel consumption and the use of substitute sources of energy to voyages and at berth;

(b)the reported fuel consumption data and related measurements and calculations;

(c)the choice and the employment of emission factors;

(d)the use of OPS or the application of any of the exceptions recorded in the FuelEU database in accordance with Article 6(9), point (a);

(e)the data required under Article 10(3).

3. The assessment referred to in paragraph 2 shall be based on the following considerations:

(a)whether the reported data are coherent in relation to estimated data that are based on ship tracking data and characteristics such as the installed engine power;

(b)whether the reported data are free of inconsistencies, in particular when comparing the total volume of fuel purchased annually by each ship and the aggregate fuel consumption during voyages;

(c)whether the collection of the data has been carried out in accordance with the applicable rules; and

(d)whether the relevant records of the ship are complete and consistent.

Article 13

Verification procedures

1. The verifier shall identify potential risks related to the monitoring and reporting process by comparing the reported amount, type and emission factor of the energy used on board by ships with estimated data based on the ship’s tracking data and characteristics, such as the installed engine power. Where significant divergences are found, the verifier shall carry out further analyses.

2. The verifier shall identify potential risks related to the different calculation steps by reviewing all data sources and methodologies used by the company concerned.

3. The verifier shall take into consideration any effective risk control methods applied by the company concerned to reduce levels of uncertainty associated with the accuracy specific to the monitoring methods used.

4. At the request of the verifier, the company concerned shall provide any additional information that enables the verifier to carry out its verification activities. Where necessary to determine the reliability, credibility, accuracy and completeness of reported data and information, the verifier shall conduct checks during the verification process. In case of doubt, the verifier may conduct site visits at the premises of the company or on board the ship. The company shall allow the verifier to access the premises of the company or the ship in order to facilitate the verification activities.

5. The Commission shall adopt implementing acts in order to further specify the rules for the verification activities referred to in this Regulation, as regards at least the following elements: competencies of verifiers; documents to be provided by companies to verifiers; assessment of the conformity of the monitoring plan and of the modified monitoring plan; risk assessment, including checks, to be carried out by verifiers; verification of the FuelEU report referred to in Article 15(3); materiality level; reasonable assurance from verifiers; misstatements and non-conformities; content of the verification report; recommendations for improvements; site visits; and communication between companies, verifiers, competent authorities and the Commission. The rules specified in those implementing acts shall be based on the principles for verification provided for in Articles 11 and 12 and in this Article and on relevant internationally accepted standards. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

Article 14

Accreditation of verifiers

1. Verifiers shall be accredited for verification activities falling under the scope of this Regulation by a national accreditation body pursuant to Regulation (EC) No 765/2008. By the end of each year, the national accreditation body shall notify the list of accredited verifiers to the Commission, together with all relevant contact information.

2. Where no specific provisions concerning the accreditation of verifiers are laid down in this Regulation, the relevant provisions of Regulation (EC) No 765/2008 shall apply.

3. Verifiers shall always have sufficient means and staff to enable them to deal with the size of the fleet for which they perform verification activities under this Regulation. In particular, verifiers shall always have sufficient expertise, particularly in maritime transport, to enable them to carry out the tasks required under this Regulation. They shall be capable of assigning means and staff to every place of work, when and as needed to carry out the tasks required under this Regulation.

4. A competent authority that identifies the non-conformity of a verifier’s activities within the scope of this Regulation shall inform the competent authority of the Member State of the national accreditation body having accredited the verifier. The competent authority of the Member State of the national accreditation body shall request its national accreditation body to take into account that information as part of its surveillance activities.

5. The Commission is empowered to adopt delegated acts in accordance with Article 28 in order to supplement this Regulation by establishing further methods and criteria of accreditation of verifiers, on at least the following elements: request for accreditation for verification activities within the scope of this Regulation; assessment of verifiers by the national accreditation bodies; surveillance activities performed by the national accreditation bodies to confirm the continuation of the accreditation; administrative measures to be adopted if the verifier does not fulfil the requirements of this Regulation; and requirements for national accreditation bodies in order to be competent to provide accreditation to verifiers for verification activities within the scope of this Regulation, including a reference to harmonised standards. The methods and criteria specified in such delegated acts shall be based on the principles for verification provided for in Articles 11, 12 and 13 and on relevant internationally accepted standards.

Chapter V - Recording, verification, reporting and assessment of compliance


Article 15

Monitoring and recording

1. As of 1 January 2025, based on the monitoring plan referred to in Article 8 and following the assessment of that plan by the verifier, companies shall monitor and record, for each ship arriving at or departing from a port of call, and for each voyage referred to in Article 2(1), the following information:

(a)port of departure and port of arrival including the date and time of departure and arrival and time spent at berth;

(b)for each ship to which Article 6(1) applies, the connection to and use of OPS or the application of any of the exceptions provided for in Article 6(5) as confirmed pursuant to Article 6(9), point (a), where applicable;

(c)the amount of each type of fuel consumed at berth and at sea;

(d)the amount of electricity delivered to the ship through OPS;

(e)for each type of fuel consumed at berth and at sea, the well-to-tank emission factor, the tank-to-wake emission factors of combusted fuel and the tank-to-wake emission factors of slipped fuel associated with the different fuel consumers on board, covering all relevant greenhouse gases;

(f)the amount of each type of substitute source of energy consumed at berth and at sea;

(g)the ship’s ice class, if the company requests to exclude the additional energy used due to ship’s ice class from the calculation of the compliance balance set out in Annex IV, using the Baltic Marine Environment Protection Commission (HELCOM) Recommendation 25/7 on safety of winter navigation in the Baltic Sea to establish the correspondence between ice classes;

(h)the ship’s ice class, the date, time and position when entering and leaving the ice conditions, the amount of each type of fuel consumed and the distance travelled when sailing in ice conditions as well as the total distance travelled for all voyages during the reporting period, if the company requests to exclude the additional energy used due to sailing in ice conditions from the calculation of the compliance balance set out in Annex IV.

2. Companies shall record the information and data listed in paragraph 1 in a timely and transparent manner and compile them on an annual basis to enable the verifier to verify compliance with this Regulation.

3. By 31 January of the verification period, companies shall provide to the verifier a ship-specific report (the ‘FuelEU report’) containing all the information referred to in paragraph 1 of this Article and the monitoring data and documentation referred to in Article 7(4) for the reporting period.

4. In the event of the transfer of a ship from one company to another:

(a)the transferring company shall notify to the verifier the information referred to in paragraph 1 of this Article for the time during which it had responsibility for the operation of the ship;

(b)as close as practical to the day of completion of the transfer and no later than one month thereafter, the information referred to in point (a) shall be verified and recorded in the FuelEU database in accordance with Article 16 by the verifier that performed verification activities for the ship under the transferring company; and

(c)without prejudice to points (a) and (b), the company that has responsibility for the operation of the ship on 31 December of the reporting period shall be responsible for the compliance of the ship with the requirements set out in Articles 4 and 6 for the entire reporting period during which the transfer or multiple transfers took place.

Article 16

Verification and calculation

1. Following the verification as set out in Articles 11, 12 and 13, the verifier shall assess the quality, completeness and accuracy of the FuelEU report. To that end, the verifier shall use any information contained in the FuelEU database, including information provided on port calls in accordance with Article 6.

2. Where the verification assessment referred to paragraph 1 concludes, with reasonable assurance from the verifier, that the FuelEU report is free from material misstatements or non-conformities, the verifier shall notify to the company concerned a verification report stating that the FuelEU report complies with this Regulation. The verification report shall specify all issues relevant to the work carried out by the verifier.

3. Where the verification assessment identifies misstatements or non-conformities with this Regulation, the verifier shall inform the company concerned thereof in a timely manner. The company shall without undue delay correct the misstatements or non-conformities so as to enable the verification process to be completed in time and shall submit to the verifier an amended FuelEU report and any other information necessary to correct the misstatements or non-conformities identified. In its verification report, the verifier shall state whether the amended FuelEU report complies with this Regulation. Where the communicated misstatements or non-conformities have not been corrected and lead to material misstatements, the verifier shall notify to the company a verification report stating that the FuelEU report does not comply with this Regulation.

4. On the basis of the FuelEU report that complies with this Regulation, the verifier shall calculate:

(a)using the method specified in Annex I, the yearly average GHG intensity of the energy used on board by the ship concerned;

(b)using the formula specified in Part A of Annex IV, the ship’s compliance balance;

(c)the number of non-compliant port calls in the previous reporting period including the time spent moored at the quayside and, where applicable in accordance with Article 6(9), at anchorage, for each port call by the ship in non-compliance with the requirements set in out Article 6;

(d)the amount of the yearly energy used on board by a ship, excluding energy from OPS;

(e)the amount of the yearly energy used on board by a ship from the RFNBO.

5. By 31 March of the verification period, the verifier shall notify to the company the information referred to in paragraph 4 and record in the FuelEU database the FuelEU report that complies with this Regulation, the verification report and the information referred to in paragraph 4.

All information recorded in the FuelEU database shall be accessible to the administering State.

Article 17

Additional checks by a competent authority

1. At any time, the competent authority of the administering State in respect of a company may, for any of its ships, conduct, in relation to the two previous reporting periods, additional checks of any of the following:

(a)the FuelEU report that complies with this Regulation established in accordance with Articles 15 and 16;

(b)the verification report established in accordance with Article 16;

(c)the calculations made by the verifier in accordance with Article 16(4).

2. At the request of the competent authority referred to in paragraph 1, the company shall provide any necessary information or documents enabling the competent authority to conduct additional checks and shall allow access to the premises of the company or the ship to facilitate such additional checks.

3. The competent authority referred to in paragraph 1 of this Article shall issue an additional checks report including, where applicable, the updated calculations made in application of Article 17(1), point (c), the updated amount of the compliance surplus or of the advance compliance surplus and the updated amount of the FuelEU penalty.

4. Where the additional checks report referred to in paragraph 3 of this Article identifies misstatements, non-conformities or miscalculations resulting in a non-conformity with the requirements set out in Article 4 or 6 and, consequently, in a FuelEU penalty or a modification of the amount of a FuelEU penalty already paid, the competent authority referred to in paragraph 1 of this Article shall notify to the company concerned the corresponding amount of the FuelEU penalty or of the modified FuelEU penalty. Member States shall ensure that the company responsible for the ship during the period subject to the additional checks shall pay an amount equal to the FuelEU penalty or the modified FuelEU penalty within one month after its notification, in accordance with the arrangements provided for in Article 23.

5. The competent authority referred to in paragraph 1 shall remove without delay from the FuelEU database the FuelEU document of compliance of a ship in respect of which its company has not paid in due time the FuelEU penalties referred to in paragraph 4 and shall notify that removal to the company concerned in a timely manner. It shall re-issue the relevant FuelEU document of compliance only when an amount equal to the FuelEU penalty has been paid, provided that the other conditions set out in this Regulation for holding the FuelEU document of compliance are fulfilled by the company.

6. Paragraph 5 shall not apply to a ship which has been transferred to a company other than the company that assumed responsibility for its operation during the period subject to the additional checks.

7. The actions referred to in this Article, the additional checks report referred to in paragraph 3 and proof of the payments of the FuelEU penalties shall be recorded without delay in the FuelEU database by the entities that performed those actions or made that report or payment.

Article 18

Supporting tools and guidance

The Commission shall develop appropriate monitoring tools, as well as guidance and risk-based targeting tools, to facilitate and coordinate verification and enforcement activities related to this Regulation. As far as practicable, such guidance and tools shall be made available to the Member States, the verifiers and the national accreditation bodies for information-sharing purposes and in order to better ensure robust enforcement of this Regulation.

Article 19

FuelEU database and reporting

1. The Commission shall develop, ensure the functioning of and update an electronic database for the monitoring of compliance with this Regulation (the ‘FuelEU database’). The FuelEU database shall be used to keep a record of actions related to verification activities, of the compliance balance of ships, including use of the flexibility mechanisms set out in Articles 20 and 21, of the application of the exceptions set out in Article 6(5), of actions related to payment of the FuelEU penalties imposed under Article 23 and of the issuance of the FuelEU document of compliance. It shall be accessible to the companies, the verifiers, the competent authorities and any duly authorised entity, the national accreditation bodies, the European Maritime Safety Agency established by Regulation (EC) No 1406/2002 of the European Parliament and of the Council (24) and the Commission, with appropriate access rights and functionalities corresponding to their respective responsibilities for the implementation of this Regulation.

2. Any elements recorded or modified in the FuelEU database shall be notified to the entities to which they are accessible.

3. The Commission shall adopt implementing acts laying down the rules for access rights and the functional and technical specifications, including notification rules and filtering, of the FuelEU database. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(3).

Article 20

Banking and borrowing of compliance surplus between reporting periods

1. On the basis of the calculations undertaken in accordance with Article 16(4), where the ship has, for the reporting period, a compliance surplus on its GHG intensity as referred to in Article 4(2) or, if applicable, on the RFNBO subtarget as referred to in Article 5(3), the company may bank it to the same ship’s compliance balance for the following reporting period. The company shall record the banking of the compliance surplus to the following reporting period in the FuelEU database subject to approval by its verifier. The company may no longer bank the compliance surplus once the FuelEU document of compliance has been issued.

2. On the basis of the calculations undertaken in accordance with Article 16(4), where the ship has, for the reporting period, a compliance deficit, the company may borrow an advance compliance surplus of the corresponding amount from the following reporting period. The advance compliance surplus shall be added to the ship’s compliance balance in the reporting period and the advance compliance surplus multiplied by 1,1 shall be subtracted from the same ship’s compliance balance in the following reporting period. The advance compliance surplus may not be borrowed:

(a)for an amount exceeding by more than 2 % the limit set out in Article 4(2), multiplied by the energy consumption of the ship calculated in accordance with Annex I;

(b)for two consecutive reporting periods.

3. By 30 April of the verification period, the company shall record the advance compliance surplus, following approval by its verifier, in the FuelEU database.

4. Where a ship does not have any port call in the Union during the reporting period and borrowed an advance compliance surplus in the previous reporting period, the competent authority of the administering State shall notify by 1 June of the verification period to the company concerned the amount of the FuelEU penalty as referred to in Article 23(2) that it initially avoided by means of borrowing that advance compliance surplus, multiplied by 1,1.

Article 21

Pooling of compliance

1. The compliance balances for GHG intensity referred to in Article 4(2) and, if applicable, the RFNBO subtarget as referred to in Article 5(3) of two or more ships, as calculated in accordance with Article 16(4), may be pooled for the purposes of complying with the requirements set out in Article 4 and, if applicable, Article 5(3). A ship’s compliance balance may not be included in more than one pool in the same reporting period.

Two separate pools may be used for GHG intensity target and for the subtarget for RFNBO.

2. The company shall register in the FuelEU database its intention to include the ship’s compliance balance in a pool, the allocation of the total pool compliance balance to each individual ship, and the choice of the verifier selected for verifying that allocation.

3. Where the ships participating in the pool are controlled by two or more companies, the pool details registered in the FuelEU database, including the allocation of the total pool compliance balance to the pool’s ships and the choice of the verifier selected for verifying the allocation of the total compliance balance of the pool to each individual ship, shall be validated in the FuelEU database by all the companies concerned in the pool.

4. A pool is valid only if the total pooled compliance is positive, if ships which had a compliance deficit as calculated in accordance with Article 16(4) do not have a higher compliance deficit after the allocation of the pooled compliance, and if ships which had a compliance surplus as calculated in accordance with Article 16(4) do not have a compliance deficit after the allocation of the pooled compliance.

5. A ship shall not be included in a pool if it does not comply with the obligation set out in Article 24.

6. If the total pool compliance balance results in a compliance surplus for an individual ship, Article 20(1) shall apply.

7. Article 20(2) shall not apply to a ship participating in the pool.

8. By 30 April of the verification period, the selected verifier shall record in the FuelEU database the definitive composition of the pool and allocation of the total pool compliance balance to each individual ship.

Article 22

FuelEU document of compliance

1. By 30 June of the verification period, the verifier shall issue a FuelEU document of compliance for the ship concerned, provided that the ship does not have a compliance deficit further to application of Articles 20 and 21, does not have non-compliant port calls and complies with the obligation set out in Article 24.

2. Where FuelEU penalties referred to in Article 23(2) or 23(5) are due, the competent authority of the administering State shall, by 30 June of the verification period, issue a FuelEU document of compliance for the ship concerned, provided that an amount equal to the FuelEU penalties has been paid.

3. The FuelEU document of compliance shall include the following information:

(a)identity of the ship (name, IMO identification number and port of registry or home port);

(b)name, address and principal place of business of the shipowner;

(c)identity of the verifier;

(d)date of issue of that document, its period of validity and the reporting period it refers to.

4. The FuelEU document of compliance shall be valid for a period of 18 months after the end of the reporting period or until a new FuelEU document of compliance is issued, whichever occurs earlier.

5. The verifier or, where applicable, the competent authority of the administering State shall record the issued FuelEU document of compliance in the FuelEU database without delay.

6. The Commission shall adopt implementing acts establishing models for the FuelEU document of compliance, including electronic templates. Those implementing acts shall be adopted in accordance with the advisory procedure referred to in Article 29(2).

Article 23

FuelEU penalties

1. Before 1 May of the verification period, on the basis of the calculations undertaken pursuant to Article 16(4) and after possible application of Articles 20 and 21, the verifier shall record in the FuelEU database the verified compliance balances of the ship for GHG intensity as referred to in Article 4(2) and, if applicable, for the subtarget for RFNBO as referred to in Article 5(3).

If a ship has a compliance deficit for the subtarget for RFNBO as referred to in Article 5(3), the FuelEU penalty shall be calculated in accordance with the formula specified in Part B of Annex IV.

2. The administering State in respect of a company shall ensure that, for any of its ships having a compliance deficit for GHG intensity as referred to in Article 4(2) or, if applicable, for the subtarget for RFNBO as referred to in Article 5(3) on 1 June of the verification period, after a possible validation by its competent authority, the company shall pay by 30 June of the verification period an amount equal to the FuelEU penalty resulting from the application of the formulas specified in Part B of Annex IV. If a ship has a compliance deficit for two consecutive reporting periods or more, that amount shall be multiplied by 1 + (n -1)/10, where n is the number of consecutive reporting periods for which the company is subject to a FuelEU penalty for that ship.

3. The administering State in respect of a company shall ensure that, for any of its ships which is in the situation referred to in Article 20(4), the company pays by 30 June of the verification period an amount equal to the FuelEU penalty notified pursuant to that paragraph.

4. Before 1 May of the verification period, where applicable on the basis of the calculations undertaken in accordance with Article 16(4), the verifier shall record in the FuelEU database the total number of hours spent moored at the quayside by the ship in non-compliance with the requirements set out in Article 6.

5. The administering State in respect of a company shall ensure that for any of its ships which made at least one non-compliant port call, after a possible validation by its competent authority, the company shall pay by 30 June of the verification period an amount equal to the FuelEU penalty resulting from the multiplication of EUR 1,5 by the established total electrical power demand of the ship at berth and by the total number of hours rounded up to the nearest whole hour, spent at berth by the ship in non-compliance with the requirements set out in Article 6.

6. Member States shall have the necessary legal and administrative framework in place at national level to ensure the fulfilment of the obligations concerning the imposition, payment and collection of the FuelEU penalties.

7. The actions referred to in this Article as well as the proof of the payments of FuelEU penalties shall be recorded without delay in the FuelEU database by the entities that performed those actions or made that payment.

8. The company shall remain responsible for the payment of the FuelEU penalties, without prejudice to the possibility for the company to conclude contractual agreements with the commercial operators of the ship that provide for the liability of the commercial operators to reimburse the company for the payment of the FuelEU penalties, when the responsibility for the purchase of the fuel or the operation of the ship is assumed by the commercial operator. For the purposes of this paragraph, operation of the ship shall mean determining the cargo carried, the route and the speed of the ship.

9. The company shall remain responsible for the payment of the FuelEU penalties, without prejudice to the possibility for the company to conclude contractual agreements with fuel suppliers that provide for the liability of the fuel suppliers to reimburse the company for the payment of the FuelEU penalties.

10. The Commission is empowered to adopt delegated acts in accordance with Article 28 to amend Annex IV in order to adapt the factor indicated in cell 7 and, where applicable, cell 14 of the table in Part B of that Annex and used in the formula referred to in paragraph 1 of this Article, based on the developments in the cost of energy, and to amend the multiplication factor laid down in paragraph 5 of this Article, based on the indexation of the average cost of electricity in the Union.

11. Member States shall endeavour to ensure that the revenue generated from the FuelEU penalties, or its equivalent financial value, is used to support the rapid deployment and the use of renewable and low-carbon fuels in the maritime sector, by stimulating the production of greater quantities of renewable and low-carbon fuels for the maritime sector, facilitating the construction of appropriate bunkering facilities or OPS infrastructure in ports, and supporting the development, testing and deployment of the most innovative technologies in the fleet to achieve significant emission reductions.

By 30 June 2030, and every five years thereafter, Member States shall make public a report on the use of revenue generated from the Fuel EU penalties over the five-year period preceding the year of every such report, including information on the beneficiaries and the level of expenditure concerning the objectives listed in the first subparagraph.

Article 24

Obligation to hold a valid FuelEU document of compliance

1. By 30 June of the verification period, ships calling at a port under the jurisdiction of a Member State, arriving at, staying within or departing from a port under the jurisdiction of a Member State, or which have carried out voyages during the corresponding reporting period, shall hold a valid FuelEU document of compliance.

2. The FuelEU document of compliance issued for the ship concerned in accordance with Article 22 shall constitute evidence of compliance with this Regulation.

Article 25

Enforcement

1. Member States shall lay down the rules on sanctions applicable to infringements of this Regulation and shall take all measures necessary to ensure that they are implemented. The sanctions provided for shall be effective, proportionate and dissuasive. Member States shall notify the Commission of those rules and of those measures and shall notify it, without delay, of any subsequent amendment affecting them.

2. Each Member State shall ensure that any inspection of a ship in a port under its jurisdiction carried out in accordance with Directive 2009/16/EC includes checking that the ship holds a valid FuelEU document of compliance.

3. Where a ship fails to comply with the obligation set out in Article 24 for two or more consecutive reporting periods, and where other enforcement measures have failed to ensure compliance with this Regulation, the competent authority of the Member State of the port of call may, in respect of a ship not flying the flag of that Member State and after giving the opportunity to the company concerned to submit its observations, issue an expulsion order. Where the competent authority of the Member State of the port of call decides to issue an expulsion order, it shall notify that order to the Commission, the other Member States and the flag State concerned through the FuelEU database. Every Member State, with the exception of the Member State whose flag the ship is flying, shall refuse entry of the ship which is subject to the expulsion order into any of its ports until the company fulfils its obligations. Where a ship fails to comply with the obligation set out in Article 24 for two or more consecutive reporting periods and enters into a port of the Member State whose flag it flies, the Member State concerned shall, while that ship is in one of its ports, after giving the opportunity to the company concerned to submit its observations, order a flag detention until the company fulfils its obligations.

4. The company concerned shall confirm compliance with the obligation to hold a valid FuelEU document of compliance by notifying a valid FuelEU document of compliance to the competent national authority which issued the expulsion order. This paragraph shall be without prejudice to the provisions of international law applicable in the case of ships in distress.

5. Sanctions against a specific ship by any Member State shall be notified to the Commission, to the other Member States and to the flag State concerned through the FuelEU database.

Article 26

Right to review

1. Companies shall be entitled to apply for a review of the calculations and measures addressed to them by the verifier under this Regulation, including the refusal to issue a FuelEU document of compliance in accordance with Article 22(1).

The application for a review shall be lodged with the competent authority of the Member State in which the verifier is accredited within one month of the notification of the result of the calculation or of the measure by the verifier.

2. The decisions taken under this Regulation by the competent authority of a Member State shall be subject to review by a court of the Member State of that competent authority.

Article 27

Competent authorities

Member States shall designate one or more competent authorities to be responsible for the application and enforcement of this Regulation (‘competent authorities’) and communicate their names and contact information to the Commission. The Commission shall publish on its website the list of competent authorities.

Chapter VI - Delegated and implementing powers and final provisions


Article 28

Exercise of the delegation

1. The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.

2. The power to adopt delegated acts referred to in Articles 4(4), 5(7), 6(6), 14(5) and 23(10) shall be conferred on the Commission for an indeterminate period of time from 12 October 2023.

3. The delegation of power referred to in Articles 4(4), 5(7), 6(6), 14(5) and 23(10) may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.

4. Before adopting a delegated act, the Commission shall consult experts designated by each Member State in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making.

5. As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.

6. A delegated act adopted pursuant to Articles 4(4), 5(7), 6(6), 14(5) and 23(10) shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of two months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.

Article 29

Committee procedure

1. The Commission shall be assisted by the Committee on Safe Seas and the Prevention of Pollution from Ships (COSS) established by Regulation (EC) No 2099/2002 of the European Parliament and of the Council (25). That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.

2. Where reference is made to this paragraph, Article 4 of Regulation (EU) No 182/2011 shall apply.

3. Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply. Where the committee delivers no opinion, the Commission shall not adopt the draft implementing act and Article 5(4), third subparagraph, of Regulation (EU) No 182/2011 shall apply.

Article 30

Reports and review

1. By 23 September 2024, the Commission shall present a report to the European Parliament and to the Council examining the interaction and convergence between this Regulation and Regulation (EU) 2015/757 or any other sectoral legal acts. Where appropriate, that report may be accompanied by a legislative proposal.

2. By 31 December 2027, and every five years thereafter at the latest, the Commission shall report to the European Parliament and the Council the results of an evaluation as regards the functioning of this Regulation, including possible impacts of market distortions or port evasion; as regards the evolution of the zero-emission technologies in maritime transport and their market, as well as the evolution of the technologies and market for renewable and low-carbon fuels and for OPS, including at anchorage; as regards the use of revenue generated by the FuelEU penalties; and as regards the impact of this Regulation on the competitiveness of the maritime sector in the Union.

In that report, the Commission shall consider, inter alia:

(a)the material and geographical scope of this Regulation, as regards decreasing the gross tonnage threshold referred to in Article 2(1) or expanding the share of energy used by ships in voyages to and from third countries referred to in Article 2(1), point (d);

(b)the limit referred to in Article 4(2), with a view to achieving the objectives set out in Regulation (EU) 2021/1119;

(c)the ship types and size to which Article 6(1) applies and an extension of the obligations referred to in Article 6(1) to ships at anchorage;

(d)the exceptions provided for in Article 6(5);

(e)the counting of the electricity delivered through OPS in Annex I and the well-to-tank emission factor associated with that electricity defined in Annex II;

(f)the possibility to include in the scope of this Regulation dedicated mechanisms for the most sustainable and innovative fuel technologies with a significant decarbonisation potential, in order to create a clear and predictable legal framework and encourage the market development and deployment of such fuel technologies;

(g)the calculation of the compliance balance for ships requesting to exclude the additional energy used due to sailing in ice conditions set out in Annexes IV and V, and the possible extension of the validity of those provisions after 31 December 2034;

(h)the possibility to include energy provided by wind in the calculation of the GHG intensity of the energy used on board set out in Annex I, subject to the availability of a verifiable method for monitoring and accounting of wind propulsion energy;

(i)the possibility to include new GHG abatement technologies, such as onboard carbon capture, in the calculation of the GHG intensity of the energy used on board and of the compliance balance as set out in Annexes I and IV respectively, subject to the availability of a verifiable method for monitoring and accounting of the captured carbon;

(j)the possibility to include additional elements in this Regulation, in particular black carbon emissions;

(k)the need for measures to address attempts by companies to evade the requirements set out in this Regulation.

The Commission shall consider, if appropriate, whether to accompany that report by a proposal to amend this Regulation.

3. The Commission shall include in the report provided for in paragraph 2 an evaluation of the social impacts of this Regulation in the maritime sector, including on its workforce.

4. In preparing its report referred to in paragraph 2 the Commission shall consider the extent to which the implementation of this Regulation has met its objectives and the extent to which it has impacted the competitiveness of the maritime sector. In that report, the Commission shall also consider the interaction of this Regulation with other relevant Union legal acts and identify any provisions that could be updated and simplified, as well as actions and measures that have been or could be taken to reduce the total cost pressure on the maritime sector. As part of the Commission’s analysis of the efficiency of this Regulation, the report shall also include an assessment of the burden this Regulation imposes on businesses.

The Commission shall consider, if appropriate, whether to accompany that report by a proposal to amend this Regulation, in view of the conclusions of the report referred to in the first subparagraph.

5. In the event of the adoption by the IMO of a global GHG fuel standard or global GHG intensity limits for the energy used on board by ships, the Commission shall, without delay, present a report to the European Parliament and to the Council. In that report, the Commission shall examine that global measure as regards its ambition in light of the objectives of the Paris Agreement and its overall environmental integrity. It shall also examine any issue related to the possible articulation or alignment of this Regulation with that global measure, including the need to avoid duplicating regulation of GHG emissions from maritime transport at Union as well as international level.

Where appropriate, that report may be accompanied by a legislative proposal to amend this Regulation, consistent with the Union economy-wide GHG emission commitments, and with the aim of preserving the environmental integrity and effectiveness of the Union climate action.

6. The Commission shall monitor the implementation of this Regulation in relation to maritime transport, in particular to detect evasive behaviour in order to prevent such behaviour at an early stage, and including with regard to outermost regions.

The monitoring results shall be reflected in the report to be made every two years referred to in Article 3gg(3) of Directive 2003/87/EC.

Article 31

Amendment to Directive 2009/16/EC

The following point shall be added to the list set out in Annex IV to Directive 2009/16/EC:

‘51.The FuelEU document of compliance issued under Regulation (EU) 2023/1805 of the European Parliament and of the Council (*1).

Article 32

Entry into force

This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

It shall apply from 1 January 2025, with the exception of Articles 8 and 9 which shall apply from 31 August 2024.

This Regulation shall be binding in its entirety and directly applicable in all Member States.