Transport chains are subject to pressure to reduce greenhouse gas emissions from multiple directions. Transport companies and cargo owners are pressured by the stakeholders and targeted with different types of regulations, some of them global, some others regional or national. From the perspective of overall economic efficiency, the emission reductions should take place where it is cheapest. As much of the regulations are limited to a single mode or industry, there is a chance that the emission reductions are not allocated efficiently.

This research analyzes what would from the perspective of an entire transport chain be the optimal way of reducing emissions, if different emission reduction targets and key regulatory initiatives such as ETS and Fuel EU Maritime are considered. This question was approached by constructing and optimization model, with an objective of minimizing transport cost, while fulfilling the energy need utilizing a set of conventional, low-carbon and carbon neutral fuels.

The results suggest that emission reductions are more cost efficient first from road transport, then from the seaside. Policy instruments such as ETS do not seem to make emission reductions at sea cost efficient, but using alternative fuels will be more expensive than conventional fuels at least until 2040.