Isle of Man Ship Registry Reduces Fees for ‘Green’ Ships

The Isle of Man Ship Registry (IOMSR) announced it will reduce registration fees for ships deploying green technology, in a move aimed at spurring decarbonization in the maritime industry.

The new measure, which the flag state claims is the first of its kind in the world, will give a 15% reduction on annual registration fees for cargo ships, commercial yachts or passenger ships investing in biofuel, alternative fuels, wind or shore-side energy technology.

The initiative forms part of the Isle of Man Government’s Merchant Shipping (Fees) Regulations 2022, which will be submitted to Tynwald, the legislature of the Isle of Man, for approval at its sitting in March 2022. The regulations set out the IOMSR fees from April 1, 2022.

Cameron Mitchell, director of the IOMSR, said, "The IOMSR is a progressive flag state and we are looking at ambitious ways to take action on the decarbonization agenda that make a difference. There is so much debate in the sector regarding which alternative fuels will be best in the future which conversely can create confusion and delay innovation. We want to jump start work in this area with this new green registration fee and state clearly that if you are a shipping line making steps towards hitting IMO Greenhouse Gas (GHG) emissions targets, the Isle of Man flag will reward you. We want to welcome more new, greener ships to our fleet."

The Isle of Man Minister for Enterprise, Dr. Alex Allinson MHK, said, "The Isle of Man government has made a clear commitment to sustainability as outlined across our strategic objectives within in the Island Plan. Initiatives like these contribute to our wider decarbonization agenda, as well as demonstrating our commitment to innovation and building a world class Ship Registry. I am proud that we are the first flag to introduce this incentive and look forward to seeing more initiatives like these in the future."

The move to offer immediate financial incentives for green technology ships follows on from the IOMSR becoming the first flag state to join the ‘Getting to Zero Coalition’ in 2020. The Coalition’s core aim is to hit the IMO’s 2050 target to develop commercially viable, deep-sea zero-emission vessels by 2030.