Green Fuels, ETS, and the Changing Economics of Ferry and RoRo Shipping

European maritime transport is entering a decisive decade. With the expansion of the EU Emissions Trading System (ETS) to shipping and rising pressure to adopt green fuels, ferry and RoRo operators across the Eurozone must realign their cost, investment and competitive strategies. From 2026 operators must pay for 100% of their CO2 emissions — a sharp short‑term financial strain for energy‑intensive, frequent services that complicates the balance between regulatory compliance and competitive pricing.

Interferry is therefore urging a more gradual roll‑out, calling for a longer transitional period with the ETS obligation for ferry operators capped at 70% to allow time for investments in cleaner technologies. Fuel and technical responses include Bio‑LNG and other low‑ or zero‑carbon fuels (not yet available at scale), hybrid propulsion, shore power connections in ports and energy‑efficient vessel designs.

Market dynamics are also shifting: freight flows between Ireland and continental Europe have grown strongly since Brexit, with more direct links reducing reliance on the UK land bridge. Capacity is being increased on several routes, partly driven by higher live‑cattle shipments; a new Cork–Boulogne‑sur‑Mer service will begin in mid‑June 2026. In Northern Europe, a new Danish road toll has prompted some traffic to reroute via southern Sweden. The Mediterranean corridor between the EU and North Africa (Morocco, Tunisia, Egypt) is likewise expanding due to supply‑chain diversification and growing markets.

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Read more in the latest issue of RoPax. Jan Philip Eckmann (Publisher & Editor)