International Maritime Pollution Accountability Act of 2025
- Bill Number
- S. 2243
- Origin Chamber
- Senate
- Congress
- 119th Congress, Session 1
- Policy Area
- Environmental Protection
- Status
- Introduced
- Latest Action
- 2025-07-10: Read twice and referred to the Committee on Environment and Public Works.
- Last Updated
- 2026-01-21T05:18:28Z
AI-Generated Summary
Purpose
The International Maritime Pollution Accountability Act of 2025 aims to reduce greenhouse gas emissions and air pollution from international maritime shipping by imposing fees on vessel operators and importers based on fuel consumption and emissions. It directs collected fees toward funding programs to decarbonize (reduce carbon emissions from) shipping vessels, ports, and related infrastructure, while improving air quality monitoring and supporting workforce training in cleaner technologies.
Key Provisions
- Definitions: Establishes terms for the bill, such as a "covered voyage" (a trip by a self-propelled cargo vessel of 5,000 gross tons or more primarily transporting goods to or through the U.S., excluding military, aid, or Jones Act voyages—Jones Act vessels are U.S.-built ships restricted to domestic coastal trade). "Cargo or freight" excludes passengers, fuel, supplies, and equipment. Other terms include "port of origin" (first port where most cargo is U.S.-bound), "final port of call" (last U.S. unloading point), and geographic zones like the exclusive economic zone (U.S. offshore waters up to 200 nautical miles).
- Reporting Requirements: Starting January 1, 2027, operators of covered voyages must submit detailed quarterly reports (within 30 days after each calendar quarter) to the EPA Administrator. Reports cover voyage details like distance traveled, fuel types and amounts consumed, cargo mass and destinations, time in U.S. ports, fuel use in U.S. waters, and polar region travel. Importers of U.S.-bound cargo from foreign offloads must also report similar data.
- Fee on Lifecycle CO2-Equivalent (CO2-e) Emissions:
- By January 1, 2027, the EPA must create emission profiles for maritime fuels, measuring full lifecycle CO2-e emissions (total emissions from production to combustion, in metric tons per unit of fuel mass).
- Fees assessed within 30 days of receiving reports: $150 per metric ton of CO2-e emissions from fuel burned during the voyage, multiplied by total fuel mass.
- Adjustments: Annual increases for inflation plus 5%; tripled for polar voyages (north of 60°N or south of 60°S); credits for fees paid under international agreements like Annex VI of the MARPOL Convention (a global ship pollution treaty); reductions for equivalent foreign pollution fees (50% cut if foreign fee ≥50% of U.S. fee; full credit otherwise).
- Alternate importer fee: Prorated share for U.S.-bound cargo from foreign ports, minus any operator fee already paid; importers cannot clear cargo until reporting and paying.
- Payment due within 30 days or by year-end; 20% penalties per 30-day delay.
- Sunset: Ends if a global UN fee equals or exceeds U.S. levels.
- Fees on Criteria Air Pollutants:
- By January 1, 2027, EPA develops profiles for nitrogen oxides (NOx), sulfur dioxide (SO2), and fine particulate matter (PM2.5—tiny pollution particles harmful to health) from maritime fuels (in pounds per unit fuel mass).
- Fees only on emissions in U.S. waters (exclusive economic zone, territorial sea up to 12 nautical miles, internal waters): $6.30 per pound of NOx, $18 per pound of SO2, $38.90 per pound of PM2.5, based on fuel burned there.
- Annual inflation plus 5% adjustments; same payment and penalty rules as CO2-e fees.
- Use of Collected Fees (Starting Fiscal Year 2029): 100% of fees fund EPA, Maritime Administration (MARAD), Department of Energy (DOE), and National Oceanic and Atmospheric Administration (NOAA) programs (no congressional appropriation needed; up to 1% per program for administration):
- 25% to MARAD: Grants, rebates, low-interest loans to replace/retrofit Jones Act vessels with battery, low-carbon fuel (≥90% lower lifecycle emissions than marine fuel oil), or zero-emission tech; prioritizes emission reductions, health benefits, and poor air quality areas (nonattainment zones under Clean Air Act—areas failing federal air standards).
- 25% to DOE: Competitive grants for R&D on low-carbon fuels production/transport and low-emission tech (e.g., cleaner engines); prioritizes domestic jobs, emission cuts, and health/water benefits.
- 5% to EPA: Workforce grants/rebates for training on zero-emission port equipment and low-carbon vessels, including at maritime academies.
- 10% to EPA: Grants/rebates/loans for electrifying harbor craft (small port vessels, excluding ferries) and related training.
- 10% to EPA: Similar for electrifying ferries and crew boats.
- 5% to EPA: Grants for air monitoring at port boundaries and nearby communities (fenceline monitoring—continuous sensors along pollution sources).
- 15% to EPA: Clean Ports Program (under Clean Air Act) for port emission reductions.
- 3% to NOAA: National Oceans and Coastal Security Fund for coastal protection.
- 2% to Commerce Department: Marine Debris Foundation for debris cleanup/prevention.
- Clawback provisions: Full reimbursement if funds misused (e.g., not for certified zero-emission upgrades).
Significant Changes to Existing Law
- Introduces the first federal fees specifically on lifecycle greenhouse gas emissions from international cargo shipping voyages ending in the U.S., complementing but distinct from existing Clean Air Act regulations (which focus on U.S. sources and pollutants like those in ports or Outer Continental Shelf activities).
- Adds importer liability for emissions from foreign segments of voyages, shifting some burden from operators to U.S. cargo owners—a novel approach not in current tariff or pollution laws.
- Creates dedicated, mandatory funding streams from these fees for maritime decarbonization, expanding beyond voluntary or appropriated programs like the Diesel Emissions Reduction Act (modeled for application processes) and Clean Air Act port grants.
- Exempts Jones Act vessels from fees but uses revenues to modernize them, enhancing domestic shipping preferences under the Merchant Marine Act of 1920 (Jones Act).
- Recognizes and credits international/foreign fees, aligning with but not duplicating global efforts like IMO's potential carbon levy.
Potential Impacts
- Government Agencies: EPA gains new administrative duties (reporting oversight, fee calculations, profiles) and revenue (potentially billions annually from global shipping emissions ~3% of world CO2); MARAD, DOE, NOAA, and EPA receive ongoing funds without annual budgeting fights, enabling scaled-up green programs. Could strain enforcement if non-compliance rises.
- Citizens: Port-adjacent communities (often low-income or minority areas) may see health improvements from reduced air pollution (e.g., fewer asthma cases from PM2.5/SO2), better water quality, and job training in green maritime roles. Importers/consumers might face higher goods prices passed on from fees.
- International Relations: Encourages global emission standards by sunsetting if IMO/UN adopts equivalent; credits foreign fees to avoid double-taxation, but could spark trade disputes if seen as a barrier to U.S. imports. Boosts U.S. leadership in maritime climate policy, potentially influencing negotiations at the International Maritime Organization.
Main Stakeholders Affected
- Shipping Operators and Importers: Primary fee payers; must comply with reporting and face penalties; benefit from credits and R&D funding.
- Jones Act Vessel Owners/Operators: Exempt from fees but eligible for modernization grants; supports U.S. shipbuilding and coastal trade.
- Port Authorities and Communities: Gain from electrification, monitoring, and clean programs; reduced pollution improves local health and economy.
- Environmental and Public Health Groups: Benefit from emission cuts and air monitoring in high-risk areas.
- Government Entities: EPA (fees/enforcement), MARAD (fleet upgrades), DOE (R&D), NOAA (coastal security), states/local agencies/Tribes (grants), maritime academies (training).
- Fuel Producers and Tech Developers: Opportunities in low-carbon fuels and zero-emission tech via grants.
- International Shipping Industry: Affected by fees on U.S.-bound voyages; global operators may adapt routes or fuels.
Notable Legal, Constitutional, or Political Implications
- Legal: Fees framed as pollution charges (not taxes) to avoid Commerce Clause challenges (federal power over interstate/international trade); enforceable via import holds on non-payers, tying into existing customs laws (Tariff Act). Aligns with Clean Air Act by targeting criteria pollutants but extends to international voyages, potentially requiring EPA rulemaking. Clawbacks and penalties strengthen enforcement but invite litigation over calculations.
- Constitutional: May face scrutiny under the Treaty Clause if conflicting with international agreements, though credits mitigate this; supports environmental justice by prioritizing disadvantaged areas, echoing Equal Protection principles.
- Political: Advances U.S. climate goals (e.g., Paris Agreement commitments) by addressing shipping's rising emissions without broad carbon taxes; bipartisan potential in port states but opposition from trade-dependent industries fearing cost hikes. Could influence global norms, pressuring non-U.S. flag vessels (90% of world fleet) toward cleaner tech, while bolstering domestic manufacturing under "Buy American" policies.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Sen. Whitehouse, Sheldon [D-RI]
Cosponsors (3)
Sen. Padilla, Alex [D-CA], Sen. Heinrich, Martin [D-NM], Sen. Welch, Peter [D-VT]
Recent Actions
- 2025-07-10: Read twice and referred to the Committee on Environment and Public Works.
- 2025-07-10: Introduced in Senate
Bill Versions
- International Maritime Pollution Accountability Act of 2025 — issued 2025-07-10 — PDF (42 pages)