Climex News Update

"Avoiding Deforestation to Limit Climate Change 'Cheap and Practical'

Thu, 24 Jul 2008 11:50:04 +0100

COLUMBUS, Ohio, July 23, 2008 (ENS) - Wealthy nations could help reduce greenhouse gas emissions globally by paying landowners in developing nations not to clear forested land for agriculture, finds a new study by a research team from Austria, Brazil and the United States.
The research attaches estimated dollar amounts to each metric ton of carbon that could be saved through avoided deforestation in Africa, Central and South America, and Southeast Asia.
Governments willing to spend a total of about $1 billion annually could prevent the emission of roughly half a billion metric tons of the greenhouse gas carbon dioxide a year for the next 25 years. Source: Environment News Service

Don't Offset CO2, Retire Them, via Climex

Wed, 23 Jul 2008 03:57:54 +0100

At the age of 25, Dan Lewer is going into retirement -- carbon emissions retirement that is. Lewer is co-founder of a new online carbon offset company called Carbon Retirement, which launched on July 15.
Carbon Retirement offers consumers and companies a novel approach to offsetting their carbon footprint by letting them dip into the European Union's Emissions Trading Scheme.
Now in its second phase running from 2008-2012, the EU scheme sets an emissions cap for its heavy industry and allocates a fixed number of permits, called EUAs, each allowing the bearer to pollute or trade the equivalent of one tonne of carbon dioxide (CO2). After an offset purchase is made on its website, Carbon Retirement buys the corresponding EUAs on the spot market, from CO2 exchanges like EXAA in Austria and Climex in the Netherlands. Spot EUAs currently trade around 24.50 euros (US$38.93) a tonne (Source: Reuters)

50,778 VERs sold in Climex Auction

Tue, 22 Jul 2008 17:02:52 +0100

During the fourth VER auction on the Climex Auction Platform all VERs on offer were sold on a forward basis. A total of 50,778 validated VERs were on offer from two Chinese Hydro Projects with vintages from 2006 to 2008. Verification and delivery are expected later this year. The transaction was supported by Caspervandertak Consulting and Gansu Tonghe Investment Project Consulting Co. Ltd. who prepared the documentation for the projects and the emission reductions and presented the projects to Climex.
This was the first forward auction of VERs on Climex. One project sold at � 3.50. This price included the costs of verification. The other project sold at � 3,00. In this price the verification costs were not included.
The next VER auction on Climex is scheduled for 28 August 2008. During this auction around 23.500 Social Carbon VCS VERs from a Fuel Switching to Renewable Biomass project in Brazil will be on offer with vintages from 2008 and 2009. Part of the volume consists of issued VERs and part of the volume will be sold on a forward basis.

Short term volatility; longer term more certainty

Thu, 17 Jul 2008 09:20:58 +0100

Traders note a very volatile CO2 price trend and don't know what to expect tomorrow; neither do we.... These days very active traders may loose some ground indeed. Nevertheless, traders that need to ensure long term compliance for their clients can feel more certain. The overall perspective for 2020 didn't change much. For news on tighter CER supply we had news on greater shortage when aviation links up. Moreover, this shortage combined with the strategy of banking extra allowances when prices fall, will make long term prices remain between Euro 35 and Euro 40. So, today's contract for 2014, noted at the ECX for Euro 32 looks interesting!

Schwarzenegger slams Bush administration on global warming

Mon, 14 Jul 2008 11:49:26 +0100

California Governor Arnold Schwarzenegger said the Bush administration's decision to delay a decision on regulating greenhouse gases showed that it did not believe in global warming. Schwarzenegger, in an interview with ABC television broadcast Sunday, said it would have been insincere for the administration to take action on the harmful emissions with only six months left in George W. Bush's presidency.
"Well, to be honest with you, if they would have done something this year, I would have thought it was bogus anyway... because you don't change global warming and you don't really have an effect by doing something six months before you leave office," he told ABC on Friday.
Schwarzenegger spoke on the day the US Environmental Protection Agency (EPA) issued a report offering no new action against emissions and calling for 120 days of public comment, essentially leaving any decision to the next administration.

Poland Joins East EU States Seeking CO2 Plan Change

Mon, 07 Jul 2008 01:02:02 +0100

Poland has joined seven eastern new member states of the European Union in demanding changes to the bloc's plans for curbing greenhouse gas emissions to fight climate change, its environment minister said on Friday. Maciej Nowicki told Reuters that Warsaw wanted auctioning of permits for the power sector to emit carbon dioxide phased in from a starting level of 20 percent in 2013 instead of the 100 percent proposed by the European Commission from 2013.
He said he had presented a joint position with Hungary, Slovakia, Romania, Bulgaria, Latvia, Lithuania and Estonia to take account of the specific problems of fast-growing former communist economies with carbon-intensive energy sectors.

Carbon Market Looks Past G8 to US Election

Mon, 07 Jul 2008 00:59:18 +0100

Carbon market traders and backers of clean-energy projects aren't holding their breath for a strong statement on fighting change during this week's G8 summit and are more focused on who wins November's US election.
Market players say they don't expect any breakthrough agreements on fixed emissions reductions targets at the talks at a secluded Japanese resort on the island of Hokkaido. But some are hoping for the leaders to strongly support renewable energy as a way to fight rising greenhouse gas emissions that are blamed for global warming (Reuters)

Climex VER Auction of 45,000 pre-CDM VERs

Tue, 01 Jul 2008 14:37:24 +0100

A total of around 45,000 VERs from two small Hydro Projects in China will be on offer in a VER Auction on the Climex Exchange. The auction is scheduled for 17 July 2008.

Climex to execute allocation Auctions for Austrian Government

Tue, 01 Jul 2008 14:20:58 +0100

Bundesministerium f�r Land- und Forstwirtschaft, Umwelt und Wasserwirtschaft (BMLFUW), Austria
Austria will offer for sale by auction 400,000 EU-Allowances (EUAs) annually, during the second trading period 2008-2012. The regulation in which the modalities for the auction are defined is currently under appraisal and the first auction is expected to take place in autumn 2008.

Carbon trading set to dominate commodities

Fri, 27 Jun 2008 12:24:39 +0100

The market in greenhouse gas emissions could outstrip the conventional commodities markets to become the biggest traded commodity, the head of the US Commodities Futures Trading Commission said yesterday. Bart Chilton, commissioner of the CTFC, said: "The potential size and scope of a structured carbon emissions market in the US is unequivocally vast. It is certainly possible that the emissions markets could overtake all other commodity markets."
Carbon trading was worth about $64bn last year, according to the World Bank, but the US accounted for a small fraction of this. Most of the trading - about $50bn - was carried out under the European Union's emissions trading scheme, with nearly all of the rest carried out under the Kyoto Protocol, which the US has not ratified.

German Power, Oil - what fuels CO2 prices?

Thu, 26 Jun 2008 14:19:38 +0100

During the last weeks we saw a steady increase in CO2- prices. EUA Dec.08 increased from about 25.20�/t in May by approx. 4.0� to 29.20�/t until 1 July. During that phase we saw the Dec12 break the 33�/t and even the 34�/t. The bullish trend was also seen in the whole energy market, especially for Crude oil, NBP gas and electricity prices. During the last weeks it has been observed, that the EUA prices were correlating stronger with the oil prices, than with the German power prices.

When and how will the US carbon market link-up with the EU ETS?

Thu, 26 Jun 2008 14:15:03 +0100

By Jos Cozijnsen

In an early June session, the Lieberman-Warner-Boxer proposal for an economy wide cap-and-trade system in the USA did not survive the vote. To be clear, the vote that was held was not a vote on the bill, but on: whether to stop debating the bill and proceed to a vote on the bill itself.

17,000 VERs sold in Climex Auction on 14 May

Thu, 26 Jun 2008 14:11:54 +0100

On 14 May the third VER auction was held on the Climex Auction Platform. 37,764 pre-CDM VCS II VERs from a Chinese Wind project from 2006/2007 were on offer. 17,000 VERs were sold for prices ranging between � 4.75 to 5 in three transactions. The auction started with a minimum price of � 4.50.

Climex standpoint towards HFC and large Hydro

Thu, 26 Jun 2008 14:05:41 +0100

Recently Climex has received quite a number of questions with a view to our standpoint towards HFC[1] and large scale Hydro projects. Therefore we would like to explain our policy and procedures with regard to CER Spot trading:

Are you our 100th member??????

Thu, 26 Jun 2008 14:03:26 +0100

At the day of publication of this Newsletter Climex has 91 registered participants. If you have not joined us yet, we would encourage you to �wake up� and do so now to be part of the fastest growing Carbon Exchange. We are on our way to welcome our 100th member. Of course, we will not let this go by unnoticed and the 100th member will receive a special welcome gift; a Philips WAKE UP LIGHT.