The International Maritime Organization (IMO) has approved a historic carbon pricing framework for the shipping industry, requiring ships to pay for their carbon emissions starting in 2028. The framework introduces emission reduction targets and penalties for high emitters, aiming to address the industry's significant role in global greenhouse gas emissions. Ships are urged to shift towards cleaner alternatives like green methanol and ammonia to meet the targets, despite facing infrastructure and cost challenges. The IMO Net-Zero Framework sets ambitious goals for emission reductions, with penalties reaching $380 per tonne of CO₂. The agreement also includes rewarding ships emitting less than their targets. While experts view the deal as a significant step towards decarbonizing the sector, environmental groups criticize it for falling short of the IMO's own climate goals. The establishment of the Net Zero Fund by IMO to manage pricing contributions is expected to generate $10 billion annually, supporting innovation and energy transition initiatives. However, there are debates over the allocation of funds, with some countries advocating for broader climate finance goals and a higher fee on commercial vessels to drive the industry towards a more climate-aligned future. The IMO's efforts to clean up the sector date back to 2011 with the adoption of energy efficiency regulations, and in 2018, the IMO released a strategy to reduce GHG emissions by at least 50% by 2050.