ETS Increase Effective January 1, 2025

Starting on January 1, 2025, the costs within the EU Emissions Trading System (ETS) will rise as part of the EU’s broader efforts to reduce greenhouse gas emissions. Established in 2005, the ETS incentivizes businesses to lower their emissions by imposing taxes based on emission levels.

What is ETS?

The ETS charges companies for their emissions, creating an economic incentive to reduce both emissions and costs. Shipping was included in ETS starting in 2024, with coverage expanding progressively:

  • 2024: 40% of emissions covered
  • 2025: 70% of emissions covered
  • 2026: 100% of verified emissions will be taxed

Who is Affected?

ETS covers passenger and cargo ships over 5,000 tons operating within the EU and on routes to and from the EU, with 50% of emissions included.

How This Affects Your Shipping Costs

The increasing ETS costs will be passed along through the logistics chain. At NTG Road, we adjust the ETS surcharge monthly, meaning that the costs are updated every month to reflect fluctuations in the market price of emission allowances.

You can always find current surcharges and rates under the menu item “General info”.

If you have any question, please feel free to contact us.