PolicyBrief
S. 2243
119th CongressJul 10th 2025
International Maritime Pollution Accountability Act of 2025
IN COMMITTEE

This Act establishes reporting requirements and imposes fees on large commercial vessels for carbon dioxide and criteria air pollutant emissions, while funding decarbonization and clean air initiatives in port communities.

Sheldon Whitehouse
D

Sheldon Whitehouse

Senator

RI

LEGISLATION

Big Shipping Bills Hit $150 Per Ton of Carbon Emission Starting 2027 to Fund Green Fleet Upgrades

The International Maritime Pollution Accountability Act of 2025 is the friend who finally makes the biggest polluters pay up. This bill targets large cargo ships (5,000 gross tonnage or more) that move goods to and from the U.S., setting up a comprehensive system of reporting and fees designed to slash emissions from global shipping.

Starting January 1, 2027, operators of these massive vessels must provide the EPA with highly detailed logs for every trip, including fuel consumption, total cargo weight, and exactly how long they spend at every port. This isn't just paperwork; it's the foundation for the new fee structure, which aims to clean up both the global climate impact and the local air quality around our ports.

The Cost of Carbon: $150 and Climbing

This bill drops a major financial hammer: a new fee based on the total lifecycle carbon dioxide-equivalent (CO2-e) emissions for every covered voyage. The starting price is set at $150 per unit of CO2-e emissions. This fee isn't static; it will increase annually by the rate of inflation plus an additional 5 percentage points, ensuring the cost of polluting keeps rising. If a ship takes a shortcut through the Arctic or Antarctic (above or below the 60th parallel), the fee for the fuel burned during that polar leg triples.

For the shipping companies, this is a massive new operational cost that will likely incentivize a quick switch to cleaner fuels. For the rest of us, these costs will likely be passed down the supply chain, meaning that the price of imported goods—from electronics to clothing—could eventually reflect the new cost of shipping. If the ship operator skips the bill, the importer (the company bringing the goods into the U.S.) becomes liable for a prorated share of the fee, and they can’t even collect their cargo until they pay up. This mechanism ensures the fee gets paid, one way or another.

Cleaning Up the Air Where We Live

Beyond the global carbon fee, the bill also targets the immediate, local pollution that chokes port communities. It establishes separate fees for criteria air pollutants—Nitrogen Oxides (NOx), Sulfur Dioxide (SO2), and fine particulate matter (PM2.5)—but only based on the fuel burned while the ships are sailing in U.S. waters, including our ports. These fees range from $6.30 to $38.90 per pound of pollutant released, with the highest fee targeting the most dangerous pollutant, PM2.5. Like the carbon fee, these rates also escalate annually.

This is a huge deal for anyone living near a major port or shipping lane. These communities often suffer from high rates of asthma and other respiratory illnesses due to ship exhaust. By making it expensive to burn dirty fuel near the coast, the bill creates a strong incentive for ships to use shore power or switch to cleaner operations while docked.

Where Does All That Money Go?

The best part of this bill is Section 7, which dictates that every dollar collected from these fees (starting in fiscal year 2029) goes straight back into cleaning up the industry. The funds are split among several programs:

  • 25% goes to the Maritime Administration to fund grants and loans for modernizing the U.S. Jones Act fleet, helping these domestic ships switch to zero-emission or low-carbon technology.
  • 25% funds the Department of Energy for competitive grants to boost U.S. research and development of clean maritime fuels and technology.
  • 30% is dedicated to various EPA programs, including electrifying harbor craft (like tugs and barges), electrifying ferries, and significantly increasing fenceline air monitoring in port communities. This monitoring will provide real-time data on air quality right where residents live.
  • The remaining funds support the existing Clean Ports Program and various ocean protection funds.

In short, this bill creates a massive, dedicated funding stream for a green shipping transition, powered entirely by the fees levied on the dirtiest voyages. It’s a classic carrot-and-stick approach: the stick is the hefty fee, and the carrot is the grant money available to those who clean up their act.