Ocean Network Express finalises European Union Allowances transaction with BNP Paribas
Ocean Network Express (ONE) announced its inaugural European Union Allowances (EUA) transaction with BNP Paribas, according to the company's release.
Commencing January 1st, 2024, under the regulations of the EU Emissions Trading System (ETS), the maritime transport industry has been included and shipping companies are mandated to monitor, report, and verify their greenhouse gas (GHG) emissions annually and this data will be utilized to determine the EUA that they need to surrender within a compliance period. Non-compliance with these regulations will result in penalties and denial of entry to EU/EEA member states.
In preparation for the immediate EU ETS compliance, ONE has enhanced its internal systems to accurately reflect CO2 emissions data. The company has also initiated a trading account on the Union Registry to hold and transfer EUA according to the procedures. Through this proactive approach, ONE was able to secure its inaugural purchase of EUA from BNP Paribas on February 8th, 2024. The acquired EUA will be subsequently transferred to respective vessel owners in compliance with the agreements as well as the EU ETS regulations, which will ultimately enable the vessel owners to meet their surrender obligations to the EU by September 30th, 2025.
Ocean Network Express (ONE) was incepted on July 7, 2017 following the liner service integrations of Kawasaki Kisen Kaisha (“K” LINE), Mitsui O.S.K. Lines (MOL) and Nippon Yusen Kaisha (NYK). The new entity functions from its global headquarter in Singapore, supported by regional headquarters in Hong Kong, Singapore, the United Kingdom, the United States and Brazil. Operating more than 230 vessels, it offers an expeditious and a reliable international network of over 180 services to 120 countries and beyond. ONE is the world’s sixth largest container carrier with a fleet size of approximately 1.8 million TEU. ONE is a member of THE Alliance (THEA), a global ocean carrier consortium.
BNP Paribas is the European Union’s leading bank and key player in international banking. It operates in 63 countries and has nearly 183,000 employees, including more than 145,000 in Europe. The Group has key positions in its three main fields of activity: Commercial, Personal Banking & Services for the Group’s commercial & personal banking and several specialised businesses including BNP Paribas Personal Finance and Arval; Investment & Protection Services for savings, investment and protection solutions; and Corporate & Institutional Banking, focused on corporate and institutional clients.
