Strict regulations and control mechanisms alone are not enough to drive the maritime industry’s transition. “Softer” pressures — based on values, dialogue, and long-term business relationships — are equally important, at least for now. This is shown in a new study funded by the Swedish Transport Administration.

Despite international regulations and ambitious climate goals, the maritime sector’s climate and environmental transition is still progressing slowly. This is partly due to the high costs of renewable fuels, uncertainty about future fuels, and the limited impact of current policy instruments. At the same time, there is growing interest in change in some areas.

“We’ve been working for a long time on sustainable transport from a cargo owner’s perspective. In previous projects, however, we often found it difficult to identify clear examples of initiatives that have actually reduced the climate and environmental impact of shipping. For this study, we therefore decided to interview actors who are clearly committed to sustainability in their operations — since that commitment likely also affects how they procure and design their freight transport,” says Linda Styhre of IVL Swedish Environmental Research Institute, one of the researchers behind the study.

“A lot is happening in the green transition in northern Sweden, such as the investment in fossil-free steel. In Västerbotten and Norrbotten alone, investments totaling around SEK 372 billion in green projects are planned, according to the Acceleration Office,” says Sara Rogerson at RISE, who also contributed to the study.

The study is based on 18 interviews with eight cargo owners, five shipping companies, and representatives from five ports and terminals in northern Sweden. The results provide an overview of current environmental requirements, how actors influence one another, and which obstacles are slowing progress.

“Unfortunately, the results were somewhat discouraging. We identified some concrete sustainability requirements being placed on shipping, and almost all interviewees expressed an interest in the transition. But in practice, not much has happened yet. The focus is still more on future plans than on immediate actions. Shipping companies perceive interest from cargo owners — for example, they receive many questions during procurement — but when it comes to willingness to pay and actually taking the step, progress is slower than we had hoped,” says Linda Styhre.

“Even though cargo owners often want to move toward more sustainable transport, they also want their customers to be willing to cover part of the additional cost that green transport entails. The change therefore has to take place at several levels,” says Sara Rogerson.

A positive finding from the study is that the availability of green transport options using biofuels and LNG is increasing. These offers are based on the mass balance principle: customers can reduce their reported CO₂ emissions by paying for emission reductions elsewhere in the transport system — even if these do not occur directly in their own shipments. The reductions can then be included in the company’s climate reporting.

How, then, can the transition be achieved? According to the shipping companies, policy instruments are an important part of progress:

“We are generally very positive toward policy instruments. We believe that the only way forward is to put a price on carbon emissions — because that forces everyone to pay. Then it starts to benefit those who emit less,” says one shipping company quoted in the study.

The problem is that the current regulatory frameworks are still relatively weak. For example, FuelEU Maritime and EU ETS are not expected to significantly drive demand for renewable fuels until around 2035. A central conclusion of the report is therefore that, right now, it is the “softer” pressures — based on collaboration and long-term business relationships — that are pushing the development toward a green transition, rather than pure coercive measures.

“Sweden is at the forefront of development, largely thanks to the actors who are leading the way. They dare to challenge, and they show that investing in the transition can be both profitable and sustainable in the long term. They are extremely important, not least because they inspire and bring others along,” says Sara Rogerson.

The study concludes with a number of recommendations. Cargo owners are encouraged to impose stricter environmental requirements on shipping companies — for example regarding renewable fuels — and to invest in long-term partnerships. Shipping companies should develop green transport solutions and market them even before customers demand them. Ports can contribute through environmentally differentiated fees and by fostering collaboration between actors.

The report “Siktet inställt på sjöfartens klimatomställning – gröna kluster för hållbar sjöfart i norra Sverige” (Focusing on the Maritime Climate Transition – Green Clusters for Sustainable Shipping in Northern Sweden) was written by Linda Styhre (IVL), Sara Rogerson (RISE), and Vendela Santén (RISE).