Marine Industry

Decarbonization of shipping will cost $1.4 trillion in new technologies, fuels, and infrastructure – the equivalent of $235 per tonne of carbon dioxide according to IMO Jan 2020 Study.


Renewables and carbon free fuels cannot solve the shipping industry’s low carbon transition due to power and fuel density requirements. Carbon Capture is a critical and practical solution for shipping to meet carbon emission targets.

To meet these targets, the industry cannot rely solely on new ships, but must refit existing ships. Modular Carbon Capture offers a more practical and lower cost solution to continue trading existing ships.

Maritime Emissions Regulatory Framework

The IMO (International Maritime Organization), a part of the United Nations, is the global authority for safety, security, and environmental performance of international shipping  

IMO measures to reach big CO2 emissions goals by 2030 and 2050: 

  • 50% CO2 reduction by 2050, from 2008 levels 
  • 40% energy intensity reduction by 2030

Development Driving Maritime Decarbonization

European ETS

  • On January 14 2022, the EU Parliament voted to add all emissions from ships trading within EU waters to be added to the Emissions Trading System from 2023 onwards. 
  • This is likely a precursor to a Global carbon tax or carbon fund implemented post-2023 by the IMO -update on the latest 

Sea Cargo Charter

  • As with the Poseidon Principles, the Global Maritime Forum has created the Sea Cargo Charter in Sept 2020. 
  • It provides a global framework for aligning chartering activities with responsible environmental behavior to promote international shipping’s decarbonization

Climate Bonds Initiative

  • The Climate Bonds Initiative (CBI) is an investor-focused not-for-profit, launched to increase investments contributing to the transition to a low-carbon and climate resilient economy  
  • The CBI for Shipping was launched in early 2020 to create a framework and align ship finance with the IMO 2030/2050 goals, as well as the Paris Accords

Poseidon Principles

  • The Poseidon Principles are the world’s first sector-specific, self-governing climate alignment agreement amongst financial institutions 
  • They establish a global framework for assessing and disclosing the climate alignment of ship finance portfolios and are consistent with the policies and ambitions of the International Maritime Organization 
  • Including its ambition for greenhouse gas emissions to peak as soon as possible and to reduce shipping’s total annual GHG emissions by at least 50% by 2050

Market Drivers

Carbon capture is essential in addition to renewables and efficiency gains if we are to achieve the Paris Agreement targets1.  

Global carbon pricing of $200 per ton by 2050 will be required to limit global warming2.

European Union Emissions Trading System (“EU ETS”) carbon pricing has risen to €50 /t and set to increase to €100 /t by 2025. 

45Q tax credits in the U.S. of US$50/t by 2026 under existing legislation and proposed CATCH legislation would increase the 45Q tax credit to $85/t once passed4.  

Canadian carbon pricing is legislated to rise to C$50/t next year increasing to C$170/t by 2030. 

Carbon border taxes (carbon leakage) – carbon tariffs will be imposed on imports from countries without carbon pricing to enforce a normalized global carbon price6.

(1)Source: IEA Net Zero by 2050 Report; (2)Source: IEA carbon prices to limit global warming to within 1.5°C as per Wood Mackenzie); (3)Source: Coordinated Action to Capture Harmful Emissions Act; (4)Source: IEA Carbon capture use and storage by 2050; (5)Source: EC Brussels, 14.7.2021 COM(21) 564 fi


Current Solutions

Conventional carbon capture systems are large complex chemical plants, and requiring a long lead time to build.  They are practical for very large emitters such as refineries and cement plants with large emissions.    

These massive plants are not a practical solution for the small to mid-size carbon emitters less than one million tons per year.

Ionada Solution

Ionada is the first to market with a patented membrane contactor carbon capture system for small to mid-size carbon emitters, carbon emitters less than 200,000 tons per year.  Ionada’s carbon capture technology provides a compact and affordable solution to achieve net zero carbon emissions.