IAPH: IMO NZF adoption needed to ensure port infrastructure investments in developing countries

September 18, 2025, by Naida Hakirevic Prevljak

As International Maritime Organization (IMO) Member States are set to vote in the week of October 13 on crucial amendments to the MARPOL Convention, the Managing Director of the International Association of Ports and Harbors (IAPH) has urged all stakeholders to support a global economic measure, warning that a mixture of national and regional measures could spell a “disaster for the maritime energy transition.”

Illustration. Honiara Port, the Solomon islands. Courtesy of IAPH

Speaking at an event on decarbonization of shipping in London this week, IAPH Managing Director Patrick Verhoeven issued a stark warning about the consequences of having a negative outcome from the upcoming vote to adopt the IMO’s Net Zero Framework (NZF) measures.

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Prior to MEPC80 way back in July 2023, IAPH submitted a call with others for an economic measure which would close the gap in pricing between hydrocarbon and low- and zero-carbon fuels.

Such a measure would also assist funding vital investments in research and development to accelerate the energy transition of shipping as well as supporting the port infrastructure investments to guarantee the supply of those new fuels, particularly in developing countries that will otherwise be marginalized, according to IAPH.

Since then, IAPH has consistently supported the adoption of introducing a global fuel standard for shipping and an economic measure, which consists of a pricing mechanism and credit trading scheme to drive down emissions and fund the transition to zero and low carbon fuels.

“Adopting the IMO Net Zero Framework which was agreed upon last April will send a clear signal to industry, providing the incentive that is needed for the uptake of new low and zero carbon fuels. IAPH supports the economic measure as it will also provide vital funding for infrastructure investments in ports of developing countries, in order for them not to be left behind in the energy transition,” Verhoeven highlighted.

Last year, IAPH submitted a report to the IMO presenting the findings of a study it commissioned from Maritime & Transport Business Solutions (MTBS) to make on port climate adaptation and decarbonization investment needs of developing nations.

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The report highlights how the IMO Net Zero Fund can be used to help developing countries invest in adaptation and mitigation measures in their ports, by providing a reserve to support the just transition of these countries. The costs of port decarbonization infrastructure will vary widely depending on port size, location, existing infrastructure, existing activities, prior adaptation and mitigation plans. However, supported by numerous case studies in developing countries, the report estimated that the total investment needs for port adaptation and mitigation in developing countries roughly amount to between $55 and $83 billion.

“A failure to adopt the Framework would create absolute investment uncertainty, both for shipping companies and ports, and with that significantly delay the decarbonisation of the maritime sector. Achieving IMO’s net zero targets would become impossible,” Verhoeven added.

“It would most likely lead to more regional decarbonisation measures for shipping, adding to those already introduced through the Emission Trading Scheme by the EU. This will result in a complex regulatory patchwork which will be extremely challenging for ship owners and operators to comply with and which will have unintended consequences like we have already seen in the case of Europe. A mixture of national and regional measures could spell a disaster for the maritime energy transition,” he concluded.