ZERO44 has launched a new Carbon Insetting module designed to help ship operators manage FuelEU Maritime compliance while assessing whether emissions reductions from low carbon fuels could generate greater value through carbon insetting.
Carbon insetting enables shipping companies to transfer verified emissions reductions from the use of cleaner fuels to cargo owners seeking to reduce supply chain emissions. However, operators must avoid double counting, as emissions reductions sold as voluntary insetting certificates cannot simultaneously be counted towards a vessel’s FuelEU compliance target.
ZERO44 new software uses bunker delivery notes and proof of sustainability documents already collected for FuelEU reporting. It evaluates the current value of each fuel volume as either a FuelEU surplus or an insetting certificate, using prevailing market prices.
When a fuel volume is allocated for insetting, the system automatically removes it from the vessel’s FuelEU compliance balance. This is intended to prevent operators from overstating the surplus available for banking or release in regulatory reporting.
The platform can also transfer relevant data directly to an operator’s selected carbon insetting registry reducing duplicate data entry.
“Every tonne of low-carbon fuel an operator buys is money that can come back through FuelEU surplus or through insetting, but rarely both at the same value,” said Friederike Hesse, co-founder and managing director of ZERO44. “Our customers can now see, for every bunkering event, which route pays more today and act on it.”
The module is already operational with a major global operator that manages its insetting programme through 123Carbon, an independent registry and ZERO44 integration partner.
The launch comes as shipowners face increasing pressure to manage the cost of cleaner fuels while complying with FuelEU Maritime requirements. For operators using alternative fuels, comparing the regulatory value of emissions reductions with potential customer demand could provide another route to recover part of the additional cost of low carbon fuel.
The financial value of such reductions, however, depends on proper verification and maintaining a clear separation between emissions reductions used for regulatory compliance and those transferred through voluntary insetting.