ESG - CII - change in the air?

It has been reported this week that the IMO is “actively looking” into reviewing, and possibly changing, some aspects of its Carbon Intensity Indicator (CII) regulations. Whilst there is no detail on the scope and time frame for any review, the IMO seem to have realised they have little choice but to heed the increasingly loud objections from the industry over the controversial emissions rating scheme. At least part of that controversy is caused by the inability of owners and time charterers to crowbar CII into their fixtures in a clear and balanced way, something we at Reed Smith advise on regularly. Just last month, at a London International Shipping Week event at the IMO in London, its president-elect Arsenio Dominguez told an audience of shipping leaders that their complaints were being heard "loud and clear”. The CII rules already allow for a review in 2026, but do these latest comments mean changes are likely before then? Stay tuned.