The UK ETS is Coming: Ready for Maritime MRV 2.0?
Starting 1 July 2026, the UK Emissions Trading Scheme (UK ETS) takes a major leap—bringing the maritime sector into its regulatory fold. This means if you are a shipowner or operator managing vessels ≥5,000 GT calling UK ports, your emissions will now come with a price tag.
While this may feel like another complex compliance curveball, it’s also a strategic moment to realign operations, data systems, and reporting capabilities—and that’s where GeoServe’s Emission management services steps in.
What’s changing?
The UK MRV, initially aligned with the EU MRV post-Brexit, will now serve as the foundation for UK ETS—but with significant enhancements.
What’s excluded?
Defined list of government non-commercial vessels will be fully exempt—e.g., military, police, coast guard, emergency medical, and lighthouse authority ships.
What’s included?
Gases Covered: Not just CO₂, but also methane (CH₄) and nitrous oxide (N₂O), reported as CO₂ equivalents (CO₂e) using IPCC AR5 GWP values.
Who’s affected?
Ships ≥5,000 GT
What’s the scope of coverage?
- All domestic voyages between UK ports, including round trips (same port start/end).
- In-port emissions (at berth and movement within UK ports)—even for ships on international voyages.
Reporting timeline
Monitoring starts:
1 July 2026
Emissions report due:
31 March annually
Allowance surrender:
30 April
Biofuels and sustainable fuels
- From Day 1: Zero-rated if verified sustainable.
- Tank-to-Wake (TtW) approach for now; Well-to-Wake (WtW) under consideration as IMO frameworks evolve.
Responsible entity
- Default: Registered Owner.
- Alternate: ISM Company, if legally delegated and regulator is satisfied.
Cost recovery is not mandated in law—stakeholders expected to manage via commercial contracts.
Monitoring, reporting and verification (MRV)
- Based on the existing UK MRV, with adjustments for UK ETS needs.
- One Emissions Monitoring Plan (EMP) per operator, not per ship.
- Annual Emissions Report (AER) submitted to the assigned regulator.
Why this matters to the industry?
The UK’s move echoes the EU ETS inclusion of shipping (effective 2024) and reinforces the growing global trend toward market-based mechanisms (MBMs) in maritime decarbonisation.
This is not just a regulatory shift—it’s an operational transformation. Operators must now:
Map emissions across all UK domestic routes. Prepare EMPs and verifier arrangements. Consider commercial cost-sharing clauses. Review LNG and alternative fuel strategies in light of methane slip penalties. Monitor alignment with IMO’s GHG intensity regulations post-MEPC 83.
How will GeoServe help you lead?
Whether you manage a global fleet or operate UK domestic routes, this isn’t just about compliance—it’s about competitive foresight.
At GeoServe, we offer end-to-end support for:
- EMP creation – Alignment with UK ETS format and submission protocols.
- Multi-scheme alignment – Seamless integration across EU MRV, UK MRV, IMO DCS, and ETS.
- Emission reporting automation – Vessel-wise and operator-level AERs.
- Verifier liaison – Coordination with UKAS-accredited verifiers for smooth approvals.
- Zero-rated fuel advisory – Maximized GHG reductions and credits from sustainable fuels.
- Regulatory onboarding – Assurance on timely setup with METS and environment agency.
The future of maritime regulation is multi-tiered, fast-evolving, and globally linked—from IMO’s net-zero vision to EU/UK ETS obligations and beyond. Let’s talk about how we can decarbonize, comply, and collaborate, together.
We’d like to hear from you!
Contact us today and one of our experienced team
members will connect with you soon.
Stay Connected
Subscribe to our newsletter to get company updates on your mailbox.