BIMCO Unveils Standardized Charter for Emerging CO2 Shipping Market

BIMCO, the world's largest direct shipping association, has introduced a new standardized time charter party, CO2TIME 2026, specifically designed for the maritime transport of liquefied carbon dioxide (LCO₂). The adoption by BIMCO’s Documentary Committee addresses a critical need within the rapidly expanding carbon capture, utilization, and storage (CCUS) sector. As CCUS projects proliferate globally, the absence of a uniform contractual framework for LCO₂ shipping has been a significant operational hurdle. The CO2TIME 2026 charter party aims to streamline commercial agreements, reduce transactional risks, and provide legal clarity for stakeholders involved in the nascent LCO₂ shipping trade. This standardization is expected to facilitate greater investment in specialized LCO₂ carriers and associated infrastructure by offering a predictable and widely recognized legal foundation for contracts. Historically, new and specialized shipping trades have faced inefficiencies and higher costs due to bespoke contractual negotiations. The development of this charter party underscores the increasing commitment to decarbonization strategies across industries. Efficient and reliable LCO₂ transport is a crucial component of the CCUS value chain, enabling the movement of captured carbon from industrial emitters to storage sites or utilization facilities. By providing this framework, BIMCO is indirectly supporting the economic viability and scalability of CCUS projects, which are essential for achieving global emissions reduction targets. The maritime industry's proactive step reflects a broader trend of developing new commercial and logistical solutions to support the energy transition.