A new mandatory report card for carbon emissions by ships of greater than 5,000 gross tons has huge implications for the commercial maritime industry.

Developed by the International Maritime Organization and coming into force at the beginning of 2023, the Carbon Intensity Indicator (CII) assigns a grade on a scale from from A to E — indicating, respectively, major superior, minor superior, moderate, minor and inferior performance in reducing carbon emission levels. Ships will be required to gather relevant data and record it in their Ship Energy Efficiency Management Plan. If rated D or below for three straight years, they’ll have to submit a corrective action plan. They also risk being banned from international commerce. On this episode, we get the details on the CII from Dylan Keil, co-founder and CEO of Bearing. He explains the consequences of a poor grade, how ship operators can predict their performance, and what steps they can take to clean up their act. Part of the answer lies in the application of artificial intelligence. Hosted by Bob Bowman, Editor-in-Chief of SupplyChainBrain.

Show notes:

IMO’s frequently asked questions about the CII.