NZETS carbon prices rocket

April 14, 2016

Carbon Match is reporting strong interest in NZU above $12NZD http://www.carbonmatch.co.nz

Last week ended on a four year high.  Carbon Match reported:

From bid levels that have sat around the $11.80 level most of the day we have seen buyers reach up again and pay better than the ask on opening, with volume being snapped up to $12.06.

This is a market with a lot of buy-side interest below the surface, but likewise real caution among those on the sell side as would-be sellers hope for a continued rise.

As we wrote earlier in the week, it’s important to temper your expectations with a dispassionate view of the risks, not least of which is that until an announcement has been seen about the 2 for 1, the demand profile of this market remains unknown.

It’s exciting to see this level of prices once again after more than 4 years, but uncertainty is running high and now that today’s willing volume has been cleaned out we are bid $11.85 and offered $12.50.


Climate Web Update

April 14, 2016

We met Dr Trexler back in 1996 and he continues to offer the best insight into climate change knowledge on the Planet. Climate Web is his latest venture into spreading the word on climate change.We are sharing his latest update:

Climate Web was featured last week on the Yale Climate Connections podcast.  It’s only 90 seconds but it’s a great promotion for the Climate Web. 

We’ve continued to make rapid progress with the Climate Web, and it’s little exaggeration to say that you can explore and answer almost ANY question having to do with climate change (and through different lenses).  We’ve also come up with an exciting way to give people access to it without having to dive head-first into the whole thing, which we know can be disconcerting.  There’s plenty of new material to explore at our website, but to give you just a quick flavor here are links to a few specific Climate Spotlight pages that take very different approaches to organizing and communicating information you may be interested in:

 

 

These are just 3 of some 20 Spotlights accessible through http://climatographer.com/climate-web/ but hopefully they give you a feel for the versatility the Climate Web now has.  We’ve also done a lot more to provide help materials and videos, and even a Hands-On Training Brain within the Climate Web that people can complete in just a couple of minutes!

 

If you have a chance to check out these materials I’d love to get your feedback!  The Climate Web is more like a Climate Knowledge Legos set than a set-in-stone knowledge management system, and the whole point is to be able to customize it for specific audiences and uses.  So if you have one, let us know!


Carbon Pulse releases its new newsletter – click the link to sign up

June 20, 2015

CP Daily is Carbon Pulse’s daily newsletter.  It’s a free daily summary of their top news plus bite-sized updates from around the world. Our friends at CP have asked us to post this on our blog and offer our readers the opportunity to sign up.

If you want to subscribe to CP Daily, click here to sign up.

OUR TOP NEWS:

Pope Francis encyclical warns on use of carbon credits

Using carbon credits would not help global efforts to cut greenhouse gases, according to Pope Francis’s encyclical on climate change released by the Vatican on Thursday.

Loophole could cut EU ETS cap by up to 304m tonnes in 2021 -study

The EU ETS emissions cap could be reduced by as much as 304 million tonnes in 2021 if some richer member states opt to take advantage of a provision to help them meet climate goals in other non-ETS sectors, according to a report released on Thursday.

Impact of unallocated allowances on future EUA prices negligible -analysts

The fate of an estimated 700 million unallocated allowances left over from the current phase of the EU ETS will have a negligible effect on post-2020 EUA prices, analysts said on Thursday.

EUAs dip as concerns mount over evaporating trading volumes

European carbon prices trickled lower on Thursday in very light volumes that squeezed the benchmark contract’s intraday trading range, as concern mounted over evaporating activity in the market.

Last-minute demand sees volume spike in Guangdong

A last-minute rush to cover short positions ahead of Saturday’s compliance deadline has boosted volumes in Guangdong’s carbon market, with nearly a million allowances changing hands over the past two days.

RWE, Vattenfall, E.ON hang on to top spots in 2014 EU ETS emitter rankings

Utilities RWE, Vattenfall and E.ON held on to their respective rankings as Europe’s top GHG emitters in 2014 despite all three cutting their output, according to a report published Thursday.

Putting cars in EU ETS can’t replace other regulations -Arias Canete

The European Commission is not currently planning to propose putting road transport in the EU ETS, and even if it eventually did the measure should not be to replace existing regulations for the sector, EU climate chief Miguel Arias Canete said on Thursday.

Bite-sized updates from around the world:

May 2015 was the hottest on record, say US govt scientists – Record temperatures and impending El Nino set year on course to be warmest since 1880. (RTCC)

Climate aid key to Paris deal, says Amber Rudd – UK’s energy secretary and lead negotiator says financial package for developing countries absolutely essential for global agreement on carbon emissions. (Guardian)

Carbon Glut Limits German Options to Meet Emissions Target – A glut of European Union carbon-emission permits is limiting Germany’s options to meet its 2020 greenhouse gas-reduction target, according to the nation’s environment ministry. (Bloomberg)

Poland Seeks to Balance Pope’s Climate Call With Energy Security – Poland will seek to reconcile its use of coal as a guarantee of energy security with Pope Francis’s warning about the risk of fossil fuels. (Bloomberg)

EPA’s Clean Power Plan a ‘cheap shot’ at Pennsylvania coal – In recent testimony before the Pennsylvania House and Senate Coal Caucuses, Pennsylvania Coal Alliance CEO John Pippy said the U.S. Environmental Protection Agency’s proposed “Clean Power Plan” will be “the cheap shot that cripples the industry.” (Watchdog.org)

Obama admin set to release mandatory carbon cuts for heavy-duty vehicles – Four years ago, in August 2011, U.S. EPA and the National Highway Traffic Safety Administration announced the first federal program to cut carbon emissions from the nation’s biggest vehicles by raising the fuel standards those heavy-duty fleets must meet. (ClimateWire)


Deadline to use Non NZU units in the NZETS looms

May 19, 2015

From 1 June 2015 CERs, ERUs and RMUs (in fact most Kyoto Protocol units) will no longer be eligible for surrender to meet obligations in the Emissions Trading Scheme (ETS). For more details click here

If you are a forest owner trying to use ERUs to extinguish a qualifying liability, simply purchasing units does not complete the process. Units cna only be surrendered by logging into the emissions unit register, selecting the relevant surrender notification and surrendering the requisite number of then eligible units to the Crown account before the end of May 2015.

Thanks to Carbon Match http://www.carbonmatch.co.nz for parts of this content


New Zealand Emissions Trading Scheme EPA facts and figures

August 19, 2014

The EPA released 3 reports on the NZETS recently http://www.epa.govt.nz/e-m-t/reports/ets_reports/annual/Pages/default.aspx

Of 45.5 million tonnes or emissions units surrendered for the 2013 compliance year, only 227,000 were NZUs. The balance were UN offsets predominantly ERUs. As of 1 July 2014 there were some 140 million NZUs sitting in private accounts.

The surrender of 45.5 million in 2013 was dominated by the forestry sector with foresters opting out of the NZETS and deforestation accounting for nearly 27m of the 45.5m.

In 2014 the picture is likely to change with a budget rule outlawing the use of non NZU for forest owners to exit the scheme or deforest. Forest-owner have correspondingly become unwilling to part with their NZU when they are now required  to replace like with like. For May 2015 total surrender will also be a lot lower – perhaps < 20 million. Emitters retain the right to use ERU (and CER) right up until mid 2015.


Carbon Tax Repealed

July 26, 2014

Abolition of the Carbon Tax

The Australian Government has abolished the carbon tax.

The carbon tax repeal legislation received the Royal Assent on Thursday, 17 July 2014 and the bills as part of this package are now law, with effect from 1 July 2014.

Abolishing the carbon tax will lower costs for Australian businesses and ease cost of living pressures for households.

http://www.environment.gov.au/climate-change/repealing-carbon-tax

 


NZETS Gaming prohibited

May 22, 2014

The New Zealand Government budget delivered May 15 prohibits forest owners from exiting the NZETS by surrendering non NZU units. Designed to prevent arbitrage by forest owners selling NZU for $3 then surrendering ERU or CER thereby taking a significant margin and existing the scheme the legislation gave no warning to stamp out a practice that is becoming more widespread.

You can still use Kyoto units (including Emission Reduction Units) for harvesting and deforestation of forest land registered in the NZ
ETS; and for repaying over-allocated units until 31 May 2015. You can also resell them to industrial emitters and pre-1990 foresters who are deforesting until 31 May 2015, or sell them to overseas buyers.

for more information refer to the Sustainable forestry bulletin #50

http://www.mpi.govt.nz/Default.aspx?TabId=126&id=2260