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Alles over CO2-prijsmechanismen

Mandatory Compliance Market Carbon Pricing

Mandatory (Compliance) Market

Markets that are mandated by federal, state, or local legislation to force emission sources to reduce greenhouse gas emissions are known as mandatory (compliance) markets. Compliance program offset credits behave similarly to other commodity pricing since they are created and exchanged for regulatory compliance. The information in the charts below comes from Tradingview.

Voluntary Market Carbon Pricing

Voluntary Carbon Market

Through the acquisition of carbon credits produced by programs aimed at eliminating or reducing greenhouse gas emissions from the environment, voluntary carbon markets allow carbon emitters to offset their inevitable emissions. Businesses can participate in the voluntary carbon market alone or as a part of a program for the entire sector. There could be a 24-hour delay in the data below.

Ontwikkeling van CO2-prijzen

European Carbon Credit Market

The European Union Emissions Trading System is an exchange-traded carbon credit contract. For the purpose of trading and providing EUAs (European Union Allowance, the official name for the region’s emission allowances), it is a futures contract. The holder of an EUA is permitted to emit one ton of greenhouse gases, such as CO2 or its equivalent.

Nature Based Carbon Offset

The Nature-Based offsets projects from the Verra registry that fit within the Agriculture, Forestry, or Other Land Use (AFOLU) categories make up the N-GEO futures contracts. Although nature-based solutions can significantly increase biodiversity, it’s also sometimes thought that precisely determining the amount of carbon offset in nature-based projects is more challenging.

Aviation Industry Carbon Offset

Futures contracts from GEO adhere to the CORSIA standard of the International Civil Aviation Organization. These carbon offsets come from the Climate Action Reserve, the American Carbon Registry, and Verra, three significant registries. due to the fact that its foundation is made up of premium carbon credits that meet the requirements of the global aviation sector for emissions offsetting. They go by the name “Aviation Industry Carbon Offsets” occasionally.

Tech Industry Carbon Offset

Tech-based, non-AFOLU offset projects from the Verra registry that are in line with the CCPs make up the C-GEO futures contracts. The C stands for “Core,” or the Core Carbon Principles (CCPs) of the Taskforce on Scaling Voluntary Carbon Markets. Under the direction of the Integrity Council for the Voluntary Carbon Markets, the CCP is a developing set of open and uniform guidelines for the provision of carbon credits. This carbon futures contract is tech based.

China Price

Even though carbon credits have been sold widely at the province and local levels for years prior, China did not establish its own domestic ETS until 2021. China’s ETS, the largest in the world in terms of emissions covered, is thought to be responsible for more than 40% of the nation’s carbon emissions (approximately 4 billion tCO2), mostly from the power industry. The ETS is anticipated to grow in the coming years to include additional industries, and it is anticipated to play a significant role in the Chinese government’s efforts to mitigate the effects of climate change.

South Korea Price

Launched in 2015, South Korea’s K-ETS is the third largest globally and one of the first mandated country-level Emissions Trading Schemes. It covers roughly 75% of the nation’s S1+S2 emissions. The K-ETS, one of the pioneers of the compliance markets, is currently in its third phase of implementation; futures trading is anticipated to commence later in 2023, and individual and international participation is anticipated to begin in 2024. The K-ETS will be essential to achieving South Korea’s 2050 national goal of net zero emissions.

New Zealand Spot Price

Since its establishment in 2008, New Zealand’s NZ ETS has undergone three reviews and seven amendments, demonstrating its importance to the government’s climate change ambitions. A fourth review is presently underway in 2023. About half of all greenhouse gas emissions in the island nation of New Zealand are accounted for via the NZ ETS, which covers all significant economic sectors. The fact that agriculture accounts for almost half of the nation’s emissions presents a special problem for the government of New Zealand, which is still working to finalize its systems for pricing, reporting, and accounting for its farmers and growers.

Australia Spot Price

The Australian government first implemented a carbon price plan in 2011, however it was swiftly removed in 2014. Australia’s next attempt at implementing an ETS would not occur until 2023 and would consist of domestic offset-like products called Australian Carbon Credit Units, or ACCUs. Even though the Australian ETS is still in its early phases of development, investors and speculators have already poured money into ACCUs, even though it is not anticipated that the necessary legislation will actually be drafted until late 2023. However, those filling up anticipate a supply/demand imbalance pushing prices closer to the $75/tonne maximum, as ACCU prices are capped at that level and rise by CPI + 2 percent annually.

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