The Ultimate Guide to FuelEU Maritime

As the maritime sector accelerates toward stricter environmental standards, FuelEU Maritime is the latest regulation soon to be adopted in the industry. Introduced as part of the EU’s Fit for 55 climate package, this regulation mandates a gradual reduction in greenhouse gas (GHG) emissions, making it essential for vessel operators to adapt to avoid substantial penalties. Here’s a comprehensive guide to understanding FuelEU Maritime requirements and how to stay compliant.

What is the FuelEU Maritime Regulation?

FuelEU Maritime, officially effective from January 1, 2025, aims to decarbonize maritime shipping by measuring and reducing the GHG intensity (measured in grams of CO2 equivalents per megajoule [gCO2e/MJ]) of ships operating within EU waters. Unlike regulations that focus solely on emissions from ship exhaust, FuelEU Maritime takes a Well-to-Wake (WtW) approach to GHG intensity. This WtW approach considers GHG emissions from fuel production, transportation, and onboard usage, pushing shipowners to adopt lower-carbon or alternative fuels. The overarching goal is to increase the share of renewable and low-carbon fuels in maritime transport, which remains dominated by fossil fuels. By 2050, the EU targets an 80% reduction in WtW GHG emissions, using 2020’s carbon intensity (91.16 gCO₂e/MJ) as a baseline.

How to Comply with FuelEU Maritime?

Almost all ships over 5.000 gross tonnage (GT) calling at EU ports, regardless of their flag, must comply with FuelEU Maritime and ensure compliance by monitoring the fuel consumption. To maintain compliance, shipowners have to do the following:

• Submit a Monitoring Plan: Operators were required to submit a vessel-specific monitoring plan to accredited verifiers already by August 31, 2024. However, a grace period allows submission within two months after the first EU port call in 2025.
• Monitor Fuel Consumption, Carbon, Methane and Nitrous Oxide Emissions: Operators must monitor and report fuel consumption, along with carbon dioxide, methane, and nitrous oxide emissions through the whole year.
• Calculate WtW GHG Intensity Limit (in gCO2e/MJ): The regulation mandates reductions in WtW GHG emissions by 2% in 2025, increasing to 6% in 2030 and progressively reaching an 80% reduction by 2050 compared with the 2020 baseline (91.16 gCO₂e/MJ). Each type of fuel has a designated GHG intensity provided by the IMO, which will vary considerably depending on how the fuel has been produced. The WtW GHG intensity is calculated by combining fuel consumption data with the assigned WtW GHG intensity values provided by the IMO. Additionally, The GHG intensity requirement applies to 100% of energy used on voyages and port calls within the EU or EEA, and 50% of energy used on voyages into or out of the EU or EEA.
• Verify Data by an Accredited Verifier: By the 31st of January 2026, the data and calculations of the individuals’s ship’s FuelEU report must be submitted to a third-party verifier.
• Submit Data to Thetis-EU:After verification, the FuelEU report must be submitted to Thetis-EU alongside the EU MRV report. The deadline for this submission is the 31st of March 2026.
• Calculate FuelEU Penalty: If a vessel’s GHG intensity for the energy used onboard is above the annual target, it incurs a penalty. The current surcharge rate is set at €2,400 per metric ton of Very Low Sulfur Fuel Oil (VLSFO) equivalent. This rate is used to estimate the penalty cost for the excess GHG emissions, based on a standard energy content value for VLSFO (41,000 MJ per ton). To calculate the penalty, the excess GHG emissions (in gCO₂e/MJ) are multiplied by the total energy used (in MJ), converted into VLSFO equivalent tons, and then multiplied by the surcharge rate. By 30 April 2026, the compliance balance, including any penalties, must be finalised and approved in the FuelEU Maritime database.
• Declare Banking, Borrowing and Pooling in the FuelEU Maritime Database: If a vessel performs better than required and achieves GHG emissions below the target, the surplus reductions can be banked. These surplus credits are recorded in the FuelEU Maritime database and carried forward to offset future compliance requirements. Borrowing allows operators to offset shortfalls in one year by carrying them into the next (maximum 2% of next year’s compliance balance and this advancement needs to be compensated for in the following year with 10% interest. Not allowed for two consecutive periods). Operators can also pool multiple vessels to achieve compliance collectively. In pooling, surplus reductions from one vessel can offset the shortfall of another. Surplus reductions can be banked, borrowing declared, or pooled arrangements recorded and approved by the verifier, provided these actions are finalised no later than 30 April 2026.
• FuelEU Document of Compliance Onboard & Penalty Payment: By 30 June 2026, the FuelEU Document of Compliance must be issued and kept onboard. This is also the deadline for penalty payments for any excess GHG emissions.
• Shore Power Supply Mandate: By 2030, container and passenger ships must use onshore power while at berth in Trans-European Transport Network (TEN-T) ports, extending to other EU ports by 2035.

How to avoid FuelEU Maritime Penalty Fees?

To ensure no hefty fees need to be paid at the end of the year, consider the following:

• Analyse Fuel Choices: To meet GHG intensity targets, ship operators should invest in fuel-efficient technologies and consider alternative fuels such as LNG, biofuels, and methanol.
• Use Advanced Voyage Optimisation: Strategically route ships for maximum fuel efficiency. Proseadure’s advanced AI algorithm can save up to 5% in fuel compared to traditional voyage optimisation tools, as it leverages multiple objectives simultaneously, balancing both commercial and fuel-saving demands.
• Implement Accurate Emission Monitoring and Reporting: Most shipowners already report on CO2 emissions due to the EU MRV (Monitoring, Reporting and Verification) mandate. FuelEU expands this requirement to include WtW CO2 emissions as well as methane (CH4) and nitrous oxide (N2O). Ensure your current system includes this information; otherwise, Proseadure’s automated reporting simplifies the reporting process, ensuring timely, accurate data submissions and reducing administrative burdens.
• Adopt Onboard Zero-Emission Technologies: With the upcoming shore power mandate, investing in zero-emission technologies like battery systems or fuel cells will be essential for vessels docking frequently in the EU. This approach ensures compliance with shore power requirements and minimizes port-side emissions, aligning with FuelEU’s environmental goals.
• Plan for FuelEU and EU ETS Costs: Compliance costs under FuelEU and EU ETS can add up, especially with surcharges for excess GHG emissions. Proseadure’s fuel analysis and emissions tracking tools help operators monitor GHG levels in real time, enabling operational adjustments to avoid excess charges.
• Develop a Long-term Decarbonization Strategy: Considering the escalating requirements, developing a long-term strategy is crucial. This includes investments in cleaner fuels and innovative technology solutions that future-proof vessels against stricter emissions standards through 2050.

Future Implications of FuelEU Maritime

With a scheduled review in 2028, FuelEU could be expanded to smaller vessels or involve stricter limits. This aligns with the broader EU goal of achieving carbon neutrality by 2050. The phased reduction targets—6% by 2030, 14.5% by 2035, 31% by 2040—highlight the need for consistent advancements in sustainable fuel technology and operational efficiency​

How Can Proseadure Supports FuelEU Compliance?

Proseadure’s platform is purpose-built to streamline compliance with regulations like FuelEU Maritime, EU MRV, and EU ETS:

• Real-Time Emissions Tracking: With satellite-enabled data and precise fuel analytics, operators can ensure voyages remain within GHG limits.
• Automated Reporting and Compliance: Simplify MRV and FuelEU reporting with automated data aggregation, reducing administrative load.
• Predictive Analytics for Future Compliance: Track and plan for emissions targets with a forward-looking compliance dashboard that helps strategize fuel usage and emissions reductions.

FuelEU Maritime marks a pivotal shift towards a sustainable maritime industry. For ship operators, it’s more than regulation—it’s an opportunity to innovate for cleaner, cost-effective operations. As regulations evolve, Proseadure’s solutions provide essential support in navigating compliance and operational efficiency in the years to come.