Overview

Argus carbon markets services provide essential insight into global industry trends, policy changes, and regulatory developments. They include access to analysis and price for the green markets assessments, including renewable energy certificates, voluntary carbon credits, CO2 permits, EU Emissions Trading systems (ETS), SO2 and NOX.

Key markets covered

  • Europe
  • EUA (EU ETS allowances)
  • CER (certified emission reductions)
  • ERU (emission reduction units)
  • US & Canada
  • RECs (renewable energy certificates)
  • Carbon markets for California, RGGI (Regional Greenhouse Gas Initiative), and Canada
  • California and Oregon LCFS (low-carbon fuel standard)
  • Biofuel RINs (renewable identification numbers)
  • SO2 and NOX

Latest carbon markets news

Browse the latest market moving news on carbon markets.

News
15/07/24

Trump taps Vance as running mate for 2024

Trump taps Vance as running mate for 2024

Washington, 15 July (Argus) — Former president Donald Trump has selected US senator JD Vance (R-Ohio) as his vice presidential pick for his 2024 campaign, elevating a former venture capitalist and close ally to become his running mate in the election. Vance, 39, is best known for his bestselling memoir Hillbilly Elegy that documented his upbringing in Middletown, Ohio, and his Appalachian roots. In the run-up to the presidential elections in 2016, Vance said he was "a never Trump guy" and called Trump "reprehensible." But he has since become one of Trump's top supporters and adopted many of his policies on the economy and immigration. Vance voted against providing more military aid to Ukraine and pushed Europe to spend more on defense. Trump said he chose his running mate after "lengthy deliberation and thought," citing Vance's service in the military, his law degree and his business career, which included launching venture capital firm Narya in 2020. Vance will do "everything he can to help me MAKE AMERICA GREAT AGAIN," Trump said today in a social media post. Like Trump, Vance has pushed to increase domestic oil and gas production and criticized government support for electric vehicles. President Joe Biden's energy policies have been "at war" with workers in states that are struggling because of the importance of low-cost energy to manufacturing, Vance said last month in an interview with Fox News. Trump made the announcement about Vance on the first day of the Republican National Convention in Milwaukee, Wisconsin, and just two days after surviving an assassination attempt during a campaign event in Pennsylvania. Earlier today, federal district court judge Aileen Cannon threw out a felony indictment that alleged Trump had mishandled classified government documents after leaving office. By Chris Knight Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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Japan’s Erex cuts biomass-fired power output in June


15/07/24
News
15/07/24

Japan’s Erex cuts biomass-fired power output in June

Tokyo, 15 July (Argus) — Japanese renewable electricity producer Erex reduced its biomass-fired power generation output in June compared with a year earlier, according to the company data. Erex's combined biomass-fired output across the 50MW Saiki, the 75MW Buzen, and the 49MW Nakagusuku power plant in June fell by 8.5pc from a year earlier to 108GWh. The company does not publish output data for its 75MW Ofunato plant, while the 20MW Tosa plant has been under periodic maintenances since March. Erex operates a total of 269MW of biomass capacity in Japan, including Ofunato, burning mainly imported wood pellets and palm kernel shells. The company aims to start coal and biomass co-firing generation at the 149MW Itoigawa plant that has only consumed coal so far. The company plans to start operations at two more biomass plants, the 75MW Sakaide Hayashida in 2025 and the 300MW Niigata Mega Bio around 2029-2030. Erex is also accelerating biomass projects in southeast Asia, aiming to build up to 19 generation plants in Vietnam and five in Cambodia that will burn mainly wood residue and chips, in addition to several wood pellet plants in both countries. By Takeshi Maeda Erex's biomass generation in June 2024 Capacity(MW) Generations(GWh) Start of Operations Tosa 20.0 0.0 Jun-12 Saiki 50.0 31.0 Nov-16 Buzen 75.0 46.0 Jan-20 Nakagusuku 49.0 31.0 Jul-21 Ofunato 75.0 - Jan-20 Total 269.0 108.0 Source: Erex Erex biomass generation (MWh) Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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Australia's Climate Active program drives ACCU demand


12/07/24
News
12/07/24

Australia's Climate Active program drives ACCU demand

Sydney, 12 July (Argus) — The Australian federal government-backed Climate Active certification program continued to drive voluntary demand for Australian Carbon Credit Units (ACCUs) last year, although future growth remains uncertain as the scheme will undergo a planned reform. Cancellations of ACCUs for Climate Active certification reached 592,837 units in 2022, down from an all-time high of 625,705 in 2021, according to estimated data that the Department of Climate Change, Energy, the Environment and Water (DCCEEW) recently disclosed to Argus . Figures for 2023 are not yet available, according to the department, but cancellations may have reached a new high between 650,000-700,000 units, according to Argus estimates ( see table ). Each ACCU represents 1t of CO2 equivalent (CO2e) stored or avoided by a project. The Clean Energy Regulator (CER) said it does not have a dataset of ACCU cancellations for Climate Active certification, despite having disclosed figures in some of its quarterly carbon market reports in recent years. It mentioned late last year that the program accounted for around 0.5mn of a total 0.8mn cancelled for voluntary purposes in the first three quarters of 2023, and later reported total voluntary cancellations of 290,146 units in the fourth quarter alone. Voluntary cancellations reached nearly 1.1mn units in 2023 , a new record high. Certification under the Climate Active standards is awarded to businesses that measure, reduce and offset their carbon emissions to achieve carbon neutrality. More than 700 certifications have been provided to entities including large and small businesses, local governments, and non-profit organisations. But significant changes in climate science, business practices and international benchmarks since the program was established in 2010 prompted the federal Labor government to seek modifications aimed at driving a more ambitious voluntary climate action in Australia, following its separate reform of the compliance market's safeguard mechanism . The DCCEEW late last year launched a consultation with proposals to reform Climate Active, which would require more climate ambition from businesses seeking to be certified under the program. The use of carbon credits to offset emissions that have not been reduced by businesses would be tightened, with a requirement that all eligible international offset units meet a five-year rolling vintage rule, replacing the existing post-2012 vintage requirement. Other proposals include mandating a minimum level of gross emissions reductions and a minimum percentage of renewable electricity use. "The government is working through feedback on these proposals and will announce the consultation outcome later this year," a DCCEEW spokesperson told Argus . No expected changes in eligible offsets ACCUs have been representing a small share of the total offsets used for Climate Active certification at between 5.7-10.8pc in recent years, despite the estimated record high last year, according to DCCEEW estimates ( see table ). Organisations can currently use certified emissions reductions (CERs) and removal units (RMUs) under the program, as well as verified carbon units (VCUs) from the Verra registry and verified emissions reductions (VERs) from Gold Standard. The DCCEEW did not provide a breakdown of cancelled volumes per credit type. No minimum use of ACCUs and no changes to the list of eligible international units are expected in the near term, following advice from a review from Australia's Climate Change Authority (CCA) in 2022. But some market participants have been asking for the removal of CERs, which account for the "vast majority" of carbon offsets surrendered by Australian organisations, according to utility AGL. CERs are "outdated", utility Origin Energy said in its submission to the Climate Active consultation. "We consider it would be consistent with international carbon reduction mechanisms to introduce a clear end date to phase out the use of CERs from the program and ensure greater alignment with the more relevant Paris Agreement," Origin said. "This reform is considered an immediate priority, and of more urgent need than some of the other proposals in this consultation." Uncertainties over future demand More investor and activist pressure in recent years over the use of carbon offsets with perceived low levels of integrity have also been forcing companies to review not only their offset standards, but also claims of ‘carbon neutrality' and similar terms. One of the DCCEEW's proposals is to discontinue the use of ‘carbon neutral' to describe the certified claim and to choose a different description. "A lot of the voluntary demand for carbon offsets in Australia has traditionally come from Climate Active, but the landscape is indeed moving quickly and the concept of carbon neutrality is being replaced by net zero," said Guy Dickinson, chief executive of Australia-based carbon offset services provider BetaCarbon and head of carbon trading at sister company Clima. This should drive more price stratification between carbon removals and carbon avoidance credits, he noted. Telecommunications firm Telstra, one of the biggest companies in Australia, recently announced it will stop using carbon offsets to focus instead on reducing its direct emissions. It will no longer seek Climate Active certification as a result and will remove references that its plans are ‘carbon neutral' or ‘carbon offset'. This could prompt other businesses to follow suit, market participants said. Another source of uncertainty over future voluntary demand comes from a DCCEEWW proposal that abatement from all ACCUs used under Climate Active would count towards meeting Australia's Nationally Determined Contribution (NDC) under the Paris Agreement. The use of ACCUs under the program have so far been treated as ‘additional' to Australia's emissions reduction target through accounting under the Kyoto Protocol. If the government goes ahead with such a proposal, this could disincentivise participation in Climate Active as organisations might consider this as "paying to help the government meet its targets through the voluntary action of businesses," utility EnergyAustralia warned in its submission. There has been increased interest in emerging and alternate standards to those acceptable under Climate Active, such as the American Carbon Registry, Climate Action Reserve and Puro.Earth offsets, according to environmental marketplace Xpansiv's vice president of carbon and Australian energy, Peter Favretto. But Climate Active has reported positive growth in certified brands since its inception and will likely continue to create demand for offsets in the international voluntary market and the Australian ACCU market, he said. "With the upcoming mandatory climate reporting legislation in Australia , and a similar atmosphere in other global jurisdictions such as the US and the UK, there is a growing demand that could lead to further growth in Climate Active certifications," Favretto added. By Juan Weik ACCUs used for Climate Active certification units Year Volume Total voluntary ACCU use Climate Active % 2019 243,105 329,145 73.9 2020 417,405 605,499 68.9 2021 625,705 844,445 74.1 2022 592,837 855,081 69.3 2023 650,000-700,000* 1,090,575 60-64* DCCEEW, CER *Argus estimates Total offsets under Climate Active unit Year ACCUs Total offsets ACCUs % 2019 243,105 4,230,011 5.7 2020 417,405 6,857,628 6.1 2021 625,705 5,796,466 10.8 2022 592,837 7,472,711 7.9 DCCEEW Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

News

Port Houston fully reopens, others to follow


11/07/24
News
11/07/24

Port Houston fully reopens, others to follow

New York, 11 July (Argus) — Port Houston fully reopened today in the wake of Hurricane Beryl after the US Army Corps of Engineers and US Coast Guard gave the all-clear, with other Texas ports soon to follow, according to the Greater Houston Port Bureau. "As of this morning, we are lifting all restrictions for the Houston ship channel — no more draft restrictions," port bureau president Captain Eric Carrero said. Draft restrictions remain in place at 35ft for the port of Galveston, at 30ft for Texas City, and at 36ft for Freeport, according to Carrero. Freeport is also restricted to daylight operating hours. "We are reviewing the surveys for Texas City, Galveston, and Freeport and we are hoping to lift those restrictions as well," Carrero said. The return of Port Houston to full capacity three days after Hurricane Beryl made landfall on 8 July will likely assuage concerns that damage to Texas ports would cut the supply of refined product shipments from the region at a time when refineries along the US Gulf coast hit 97pc utilization in the week ended 5 July, the highest rate since June 2023, according to US Energy Information Administration data. Any vessel glut that had built up outside of Port Houston is likely to clear quickly now that full operating conditions have been restored, according to vessel piloting services in the region. The port of Freeport was the closest of the Houston-area ports to Hurricane Beryl's landfall, which could explain additional caution given to the port in maintaining its daylight hours, given the larger potential for the storm to have blown obstructions into the port's waters. The reopening of Port Houston will likely help to shift additional Army Corps and Coast Guard personnel to the other Texas ports to help complete the necessary surveys and ensure that critical aids to navigation are where they should be before giving the all-clear. By Ross Griffith Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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BP to expand EV charging to US malls


10/07/24
News
10/07/24

BP to expand EV charging to US malls

Houston, 10 July (Argus) — BP has agreed to install its electric vehicle (EV) charging gigahubs at 75 Simon Property Group sites across the US. The deal will create more than 900 charging bays that can "support nearly every make and model of EVs on the market today" at Simon properties, which are primarily shopping malls. The first gigahubs, which will be installed by the company's BP Pulse subsidiary, are expected to open in early 2026. BP Pulse's EV charging network includes 39,000 bays across the US, UK, Germany and China, and the company aims to surpass 100,000 globally by 2030. BP plans to invest $1bn into domestic EV charging infrastructure by the end of the decade, as well. The agreement with Simon follows BP's 2023 deal with car rental agency Hertz to add gigahubs and charging bays in "high-demand locations" of major cities in the US. By Alex Nicoll Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.