A United Nations mandate on the shipping industry to remove up to 85% of the sulfur content from its fuel to cut 3% of global carbon dioxide emissions could throw the industry into massive disruption.

Some analysts argue it could lead to fuel supply and demand imbalances and arbitrage opportunities that could extend crude oil price volatility.

“The industry is still in a financial tailspin since the financial crisis, but the technology is ready and mandates being enforced by each country will make this a reality,” Jigar Shah, co-founder and president of Generate Capital told Forbes.

Shah, who also founded SunEdison and helps host Greentech Media’s Energy Gang podcast said, “Moving to new infrastructure will create winners and losers.  The losers will fight back and the winners will seek to include the losers to make the transition occur faster.  Sometimes it works as designed and other times it takes a few more years, but there will be no stopping this transition.”

In 2016, the United Nations’ International Maritime Organization (IMO) gave the global shipping industry four years to make sure the 90,000 vessels at sea burn 85% less sulfur by Jan. 1, 2020.

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