Decarbonizing the Seas: New Global Framework CO2TIME 2026 to Formalize Carbon Transport Market

In a major move for the maritime industry, BIMCO has officially adopted CO2TIME 2026, a groundbreaking standard time charter party designed specifically for the maritime transport of liquefied carbon dioxide (LCO₂).

COPENHAGEN — In a major move for the maritime

industry, BIMCO has officially adopted CO2TIME 2026, a groundbreaking standard

time charter party designed specifically for the maritime transport of

liquefied carbon dioxide (LCO₂). This new contractual framework marks a

critical step toward standardizing the fast-evolving carbon shipping sector as

global decarbonization efforts accelerate. <o:p></o:p>

Bridging

the Gap in Carbon Logistics<o:p></o:p>

The

introduction of CO2TIME 2026 is a direct response to the rapid expansion of

Carbon Capture, Utilisation, and Storage (CCUS) projects worldwide. As

industries move from planning to large-scale implementation of carbon removal,

the demand for a clear, standardized legal framework for seaborne CO₂ movement

has become essential. <o:p></o:p>

While the

CO2TIME 2026 contract is primarily tailored for the transport of liquefied

carbon dioxide (LCO₂), it offers significant operational versatility. As the

first charter party developed specifically for liquefied CO₂ carriage, it

provides a unique level of sector specificity. However, the form is also

drafted with enough adaptability to be utilized for other liquefied gases, such

as LPG. This inherent flexibility allows shipowners to efficiently manage

diverse fleets under a single, unified legal structure.<o:p></o:p>

Expert

Insights on the New Standard<o:p></o:p>

Stinne

Taiger Ivø, BIMCO’s Deputy Secretary General and Director of Contractual

Affairs, noted that CO2TIME 2026 was designed to balance cutting-edge

innovation with industry familiarity. <o:p></o:p>

"CO₂

transport is a developing trade with a unique risk profile, but it is closely

connected to established gas shipping practices," Ivø stated. "This

form bridges the gap by providing a familiar structure while addressing the

specific technical and regulatory hurdles of CO₂ carriage". <o:p></o:p>

Nicholas

Fell, Chair of BIMCO’s Documentary Committee, emphasized that by building on

well-known time charter principles, the form helps reduce contractual

uncertainty. This clarity is intended to support not just shipowners and

charterers, but also the financiers and project developers who are essential

for scaling the carbon transport market. <o:p></o:p>

The

CO2TIME 2026 framework incorporates specialized provisions that directly

reflect the daily operational realities of carbon dioxide shipping. A primary

feature of this contract is its approach to liability allocation, where costs

and responsibilities are assigned based on which party—either the shipowner or

the charterer—maintains control over specific operational decisions. This

creates a practical and balanced environment for day-to-day maritime

activities.<o:p></o:p>

Beyond

legal logistics, the framework establishes critical technical benchmarks by

setting industry standards for safety protocols and cargo handling. These

parameters are unique to the carriage of carbon dioxide, ensuring that the

specific physical and chemical requirements of LCO₂ are addressed.<o:p></o:p>

Furthermore,

the framework provides significant investment security by mitigating

long-standing legal ambiguities in the carbon transport sector. By providing

this contractual clarity, CO2TIME 2026 is expected to bolster confidence among

insurers and investors, which could potentially accelerate the construction of

new vessels specifically designed for LCO₂ transport.<o:p></o:p>

Decarbonizing the Seas: New Global Framework CO2TIME 2026 to Formalize Carbon Transport Market

Haulage Times Daily Intelligence