TT Club warns ‘cold ironing’ needs careful planning as ports race to cut emissions

London, 13 January 2026

TT Club, the leading global freight and logistics mutual insurer, warns that a successful transition to onshore power supply (OPS) - also known as shore-side electricity or ‘cold ironing’ - will require careful planning, thorough risk assessment and early engagement with all stakeholders. 

The EU’s Regulation 2023/1804 will require seagoing container and passenger ships calling at Trans-European Transport Network (TEN-T) core ports to use OPS from 2030. From 2035, the requirement will extend to any EU port that has OPS installed, not just those on the TEN-T network.

The EU’s Regulation 2023/1804 will require seagoing container and passenger ships calling at Trans-European Transport Network (TEN-T) core ports to use OPS from 2030

However, by mid-2025, only about 20% of the OPS connections needed in Europe had been installed or contracted. Cruise terminals were at roughly 38% of the target, while container terminals lagged at around 11%. 

While investment commitments are rising - Italy alone has earmarked €700 million for OPS projects, and both the Netherlands and the UK have pledged several hundred million euros each - TT Club is warning against a kneejerk reaction to the looming deadline.

Harry Palmer, Risk Assessment Manager at TT Club, says, “Ports and shipping lines are under increasing pressure to cut emissions, improve air quality and meet climate commitments. Cold ironing is becoming a central part of that effort. By allowing ships at berth to switch off their conventional engines and run on electricity from the quay, OPS can significantly reduce emissions and cut air pollution in ports and nearby communities.”

“So far, however, high upfront costs and uncertain business models have slowed global adoption. With new European rules coming into force and public scrutiny rising, ports can no longer afford to wait.”

Ports can no longer afford to wait

“But cold ironing is not just a matter of installing plugs on the quay; supplying far higher levels of steady power to multiple ships simultaneously will require massive grid upgrades, large transformers and an array of specialised connectors. We’re talking about building the energy and risk management systems that will support the long-term sustainability of maritime trade. Port Authorities, port owners, terminal operators and their technical and risk management teams have to start detailed technical, financial and safety assessments now, and to involve all relevant stakeholders early in the process.”