Emerging CO2 Trade Gets Real with First Bimco Time Charterparty

Why It Matters

Standardising LCO₂ shipping contracts reduces legal risk and accelerates CCUS deployment, a critical component of global decarbonisation strategies. The move positions maritime finance and insurance markets to support low‑carbon trade at scale.

Key Takeaways

• Bimco releases CO2TIME 2026, first TCP for liquefied CO₂
• Standard contract addresses legal gaps in LCO₂ shipping
• Facilitates growth of carbon capture and storage logistics
• Provides framework adaptable to other liquefied gases
• Signals market maturation for low‑carbon maritime trade

Pulse Analysis

The carbon capture, utilisation and storage (CCUS) sector is entering a rapid expansion phase, with projects worldwide seeking efficient ways to move captured CO₂ from inland sites to offshore storage or utilisation hubs. While pipelines dominate onshore transport, maritime shipping becomes essential for long‑distance and inter‑regional movements, especially for liquefied CO₂ that can be stored at low temperature and pressure. Until now, the lack of a dedicated charterparty has forced parties to adapt crude oil or LNG contracts, creating legal ambiguities and operational friction.

Bimco’s CO2TIME 2026 fills that gap by providing a purpose‑built time‑charter framework that defines cargo specifications, loading and discharge procedures, and liability regimes tailored to LCO₂’s unique properties. The form incorporates clauses on temperature control, boil‑off management, and emissions reporting, giving shipowners, charterers and insurers a clear risk profile. By standardising terms, the charterparty reduces negotiation time, lowers transaction costs, and enables financiers to underwrite LCO₂ voyages with greater confidence, thereby unlocking capital for new vessels and retrofits.

Beyond CO₂, the CO2TIME model offers a template for other emerging liquefied gases such as green ammonia, hydrogen‑rich syngas, and synthetic fuels. Its adoption could catalyse a broader shift toward low‑carbon maritime trade, aligning shipping practices with climate‑aligned policies and investor expectations. As regulators tighten emissions standards, having a proven contractual backbone will help the industry scale sustainably, positioning Bimco as a pivotal facilitator of the next generation of green shipping contracts.