ARTICLE
1 November 2024

Understanding The EU MRV Regulation: Compliance Essentials For Maritime Emissions Monitoring And Reporting

MRV is a mandatory monitoring, communication and verification system set up by the European Commission for ships over 5,000 gross tonnes (GT) travelling on one or more commercial...
Malta Transport

MRV - Monitoring, Reporting and Verification Maritime Regulation

MRV is a mandatory monitoring, communication and verification system set up by the European Commission for ships over 5,000 gross tonnes (GT) travelling on one or more commercial routes to, from or between EU ports, regardless of their flag. However, there are certain voyages calling at an EEA port which are excluded from the scope of this regulation.

Warships, auxiliary machinery, fishing vessels, rudimentary construction boats, ships without mechanical propulsion or state ships used for non-commercial purposes are excluded in their entirety from this regulation.

Every ship must develop its own monitoring plan (MP) and have it evaluated by a verifier in accordance with the Regulation. Emissions and activity data must be tracked and reported by vessels. Furthermore, before being submitted to the EU Commission and Flag State, emissions reports need to be independently confirmed. A Document of Compliance (DOC), provided by the ship's verifier and attesting to the ship's licence to trade and operate, must be carried on board.

The amount and emission factor of each type of fuel consumed, the total aggregated CO2 emissions as defined by the Regulation, the port of departure and arrival along with the dates and times of arrival, and the specific CO2 emissions from voyages between ports under the jurisdiction of a Member State are just a few of the parameters that must be covered by the monitoring and reporting of emissions on a per-voyage basis.

Additionally, ships must record their distance travelled, time at sea, cargo carried, transport work completed, and CO2 emissions at ports under the jurisdiction of a Member State. Information about the ship's ice class and, if relevant, ice navigation may also be monitored by the company.

Every year, the company is obligated to adhere to certain guidelines. When a company violates the MRV Regulation for two or more consecutive reporting periods and other enforcement measures have not been successful in ensuring compliance, the competent authority of the member state of the port of entry may issue an expulsion order after providing the company with a chance to submit its observations.

The Commission, the European Maritime Safety Agency (EMSA), other member states, and the flag state in question will be notified of the order. Upon the arrival or discovery of a vessel with the flag of a member state in one of its ports, the member state in question is obligated to retain the vessel until the firm has fulfilled its monitoring and reporting obligations, after having given the company an opportunity to provide insight.

Regulation (EU) 2023/957 of May 10, 2023, amended the aforementioned Regulation to allow for the monitoring, reporting, and verification of emissions of additional greenhouse gases and emissions from additional ship types, as well as the inclusion of maritime transport activities in the EU Emissions Trading System. The EU MRV Regulation was expanded to cover additional emission categories at the start of this year. Additionally, starting on January 1, 2025, offshore ships with a gross tonnage of 400 or more and general cargo ships with a gross tonnage of 400 to 5000 will also be subject to the modified MRV Regulation.

Additionally, starting in 2025, each ship must submit an emissions report for the preceding year by March 31st of each year to the appropriate Administering Authority, the flag state, and the European Commission. The report must be confirmed as adequate by an approved verifier.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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