We estimate that the combination of the market mechanism, additional technical and operational industry improvements, including the mitigation programmes paid for by a portion of the funds raised, will reduce the emissions by 0.5% to 0.8% annually till 2050 (dependent on the split of funds). The total emission impact till 2100 would be more than halved due to the reduced growth and the effect of bringing forward step changes by up to 10 years.
Simultaneously, developing countries will benefit from the adaptation financing and the shipping industry from the improvements in the sector.