Carbon markets
Overview
Carbon markets are developing as a crucial economic lever in the challenge of reversing the accumulation of greenhouse gases in the Earth’s atmosphere, while CO2 remains a key factor in a range of industrial sectors.
National governments are embracing carbon markets, with a proliferation of carbon pricing policies worldwide. The private sector is channelling finance into projects that generate carbon emissions reductions and removals to mitigate their hard-to-abate emissions.
And the United Nations is making progress in building a global marketplace for carbon emissions reductions that will facilitate nations’ attempts to meet their obligations under the Paris Agreement.
Industrial sectors remain a key source of CO2 emissions and consumption, with innovation looking towards sustainable methods of production and utilisation.
Argus is setting the stage for an extended period of growth, evolution and interconnection of carbon market participants and initiatives.
Latest carbon markets news
Browse the latest market moving news on carbon markets.
No clear path to pre-war Hormuz return: D’Amico
No clear path to pre-war Hormuz return: D’Amico
New York, 13 March (Argus) — Tanker operator D'Amico sees significant headwinds facing global shipping even if the strait of Hormuz can effectively reopen to commercial traffic given infrastructure damage in the Mideast Gulf and mines possibly lingering in the strait. "There are almost 19mn b/d between crude and refined products which used to transit through Hormuz, so around 18pc of total oil supply and 25pc of seaborne volume," D'Amico chief executive Carlos Balestra di Mottola said. "I expect when the war ends, unfortunately, we will not be able to see all the flows we were seeing from this region," di Mottola said. Reopening the strait of Hormuz would remove the major chokepoint that has starved global markets of typical Mideast Gulf flows of refined oil products and crude oil. But the reality on the ground has shifted in the two weeks since the US and Israel began striking Iranian targets. Expecting a similar level of output from the Mideast Gulf in the near term even with the removal of this chokepoint may be too presumptuous, according to di Mottola. "I believe, unfortunately, [flows of crude oil and refined products] might not be able to come back to full speed immediately," di Mottola said. "It will crucially depend on how severely damaged all this oil infrastructure is. We are reading headlines every day of refineries being attacked, export terminals being attacked, so we really will only be able to assess and understand the extent of this damage when things calm down." Iranian mines suspected to be resting on the seabed of the strait remain the biggest wildcard for shippers and insurers alike. A full reopening of the strait would require assurances of total mine removal from the area, which would likely require significant time to complete. "Before sending our vessels, we want to make sure that there aren't any mines which could be hitting our vessels," di Mottola confirmed. He noted that none of the company's 21 medium range tankers and six long range 1 tankers were stuck within the Mideast Gulf, but that the company did cancel one contract with a charterer because it was not safe to enter the region. Di Mottola also pointed to ongoing Red Sea loadings as providing some relief to the de facto closure of the strait of Hormuz in the meantime, but only at a fraction of typical flows. "There is the potential to reroute, through some pipelines [to the Red Sea], part of this production, around 3.54mn b/d, but that leaves still a deficit of around 15mn b/d and lost oil output which cannot be easily replaced," di Mottola said. By Ross Griffith Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Brazil biodiesel blend hike faces delay
Brazil biodiesel blend hike faces delay
Sao Paulo, 13 March (Argus) — Brazil's mines and energy ministry has ruled out raising the biodiesel blend before feasibility tests are completed, amid increased lobbying for a higher mandate as oil prices rise on the US-Iran war. Market participants had expected Brazil's national energy policy council (CNPE) meeting — originally scheduled for yesterday and postponed to 19 March — to include a biodiesel blend increase on the agenda. But the mines and energy ministry told Argus that tests on blends ranging from 16pc to 25pc remain in the final phase of methodological consolidation and experimental activities have not yet started. Without tests proving the new blend levels are technically feasible, the law does not allow the mandatory blend increase schedule to move forward, the ministry said. Brazil's fuels of the future law projected an increase in the blending mandate to 16pc from the current 15pc this month. The ministry expects to start experimental trials in the first half of 2026. The original schedule planned for the tests to be completed in June, with final validation in August. Brazilian hydrocarbons regulator ANP today approved a draft ordinance establishing guidelines for its participation in one of the projects that will test biofuels blends. Brazil's parliamentary front for biodiesel FPBio has intensified lobbying to increase the biodiesel blend to 17pc from 15pc, calling it a "strategic measure for energy sovereignty, economic stability and the protection of Brazilian consumers". Brazil can currently supply up to a 21.6pc biodiesel blend into diesel, industry associations Abiove and Aprobio said in a joint statement supporting the increase. Prices for imported 10ppm (S10) diesel at Brazilian ports surpassed biodiesel contract prices on 6 March for the first time since October 2023, as global oil derivative prices rose on the US-Iran war. The government announced on 12 March measures to eliminate the federal VAT-like PIS/Cofins tax levy on diesel imports and sales to mitigate the impact of the Iran war on oil prices. Market participants also expect the CNPE meeting to address the authorization of biodiesel imports, but there is no official confirmation on the subject. Ethanol market participants have also speculated a rise in the mandatory ethanol blend in gasoline to 32pc from 30pc, but there are no official timelines set in the Fuels of the Future law for this change. The mines and energy ministry said it continuously monitors the international energy scenario and its potential effects on the domestic fuel market. By Lucas Lignon Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
US oil sector warns against export restrictions
US oil sector warns against export restrictions
Washington, 13 March (Argus) — A spike in gasoline and diesel prices triggered by the US-Israel war with Iran has prompted oil industry officials to preemptively argue against potential calls for the reinstatement of crude export restrictions the US lifted more than a decade ago. Oil industry officials see no indications that President Donald Trump or other policymakers are considering a ban on exports, which they say would cause chaos in global markets and cut off energy supplies to allies when they need it most. In 2015, the industry successfully lobbied the US Congress to lift export limits that had been in place for decades, opening up a US crude export market that averaged 4mn b/d last year. "We don't believe the idea of banning domestic exports is being considered seriously, nor should it be," an oil industry official said. "The US doesn't have a supply problem, and halting exports only hurts our economy." But the recent surge in fuel prices — retail diesel prices rose by nearly $1/USG in the week ending on 9 March, and regular grade gasoline increased by nearly 50¢/USG — has put the industry on the defensive. Banning exports would likely result in an oversupply of light sweet crude in shale producing areas such as the US Gulf coast, where most of the region's refineries are optimized to process sour crude, according to industry leaders. "Pulling American oil off the world market would further tighten global supply and could trigger cascading economic consequences for consumers," American Petroleum Institute chief executive Mike Sommers said in a series of posts on X that attacked "bad policy ideas" of restricting exports. US energy secretary Chris Wright said during an interview on CNN on Thursday there was "no discussion" in the administration on banning oil exports. Trump, who has spent his second term focused on achieving "energy dominance", the same day said the ramp-up in oil prices would result in a financial benefit to the US. "The United States is the largest Oil Producer in the World, by far, so when oil prices go up, we make a lot of money," Trump wrote on his social media platform. But the administration's approach on a separate energy policy lever has already shifted. As recently as last week, administration officials said they were not considering the release of crude from the US Strategic Petroleum Reserve (SPR). That stance changed as sustained Iranian attacks on ships near the strait of Hormuz drove up oil prices. Trump on Wednesday ordered the release of 172mn bl of crude from the SPR, the second-largest release since the reserve was created. Reimposing a ban on crude exports could create a "short-run bonanza" for US refineries that specialize in processing light sweet crude, which they could buy at a discount, economists at the US Federal Reserve Bank said in a research report in 2022. But those dynamics would not last because lower prices would lead shale producers to cut output, according to the report, and domestic fuel prices would be unchanged as long as refiners could export refined products. By Chris Knight Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Q&A: Exolum on launching UK biomethanol bunkering
Q&A: Exolum on launching UK biomethanol bunkering
London, 13 March (Argus) — Biomethanol is gaining traction as a marine fuel as shipowners work to cut lifecycle greenhouse gas (GHG) emissions. European demand has risen since FuelEU Maritime took effect last year, requiring vessels calling at EU ports to reduce the GHG intensity of their energy use — a target that rises from 2pc today to 6pc in 2030 and 80pc by 2050. Rotterdam's biomethanol bunkering volumes reflected this shift, rising by 200pc on the year to 11,800t in 2025. A growing number of operators are turning to methanol-capable fleets, including new dual-fuel ships ordered by companies such as Maersk. Activity is also picking up in the UK, even without a similar maritime mandate. Exolum and Orsted have launched a biomethanol storage and supply service at the port of Immingham, supported by a dedicated 2,700m³ tank and capacity to refuel vessels of about 400m³ every two weeks. Orsted will use the facility to supply its North Sea offshore wind farm support vessels with biomethanol produced by Methanex. Biomethanol is also used in the UK as a gasoline blending component, although consumption has declined since the US–UK ethanol trade agreement signed last year. Argus spoke with Gorka Penalva, Exolum's northwest Europe commercial lead, about the company's plans and market perspective. What specific market signals convinced Exolum that now was the right time to invest in dedicated biomethanol storage and bunkering capacity at Immingham? Biomethanol is one of the first alternative marine fuels where demand, supply and infrastructure readiness are aligning at the same time. It has a high technological readiness level, and existing oil terminal infrastructure can be repurposed with relatively limited modification. At the same time, we are seeing resilient, long-term demand for low-carbon fuels from the global shipping sector, which remains structurally difficult to electrify. For Exolum, the ability to adapt existing assets at Immingham, combined with a strong strategic fit with our energy-transition roadmap and northwest European growth plan, made the investment case compelling. Our partnership with Methanex and Orsted further reinforced that decision by providing supply certainty and a committed launch customer from day one. Biomethanol sales in Rotterdam have increased under FuelEU Maritime. Has the absence of an equivalent UK mandate made commercial planning more difficult? FuelEU Maritime is creating a clear demand signal in the EU by mandating the gradual uptake of lower-carbon marine fuels. The UK does not yet have an equivalent binding framework for international shipping, although it is moving in the same direction through economy-wide greenhouse-gas reduction targets. Long-term policy clarity always helps derisk investment, particularly for infrastructure designed to scale. At Immingham, however, the ability to repurpose existing infrastructure materially lowers the risk threshold. That flexibility allows us to move ahead even in the absence of a UK-specific mandate, while remaining well positioned should policy evolve further. With 60 methanol-capable vessels in operation or on order, how does Exolum see biomethanol demand evolving in UK ports over the next five years? We expect demand for methanol and biomethanol to grow steadily as more dual-fuel vessels enter global service. These fuels are among the first alternatives likely to scale, supported by liner commitments and relatively low conversion costs for existing terminals. Over the next five years, growth in UK ports is likely to be steady rather than exponential, tracking vessel deliveries and early trade routes rather than speculative supply. Given the resilience of green fuel demand through to 2040 and beyond, we see biomethanol becoming an increasingly important part of the UK bunkering mix. Exolum's national footprint — around 20pc of the UK's bulk fuel storage capacity across 10 ports — positions us well to support that evolution. Are you receiving early interest from non-Ørsted shipowners for biomethanol bunkering at Immingham? Yes. The infrastructure has been designed as a commercial offering rather than a single-customer pilot, with capacity available for additional users from day one. We are in discussions with multiple parties exploring biomethanol as part of their decarbonisation strategies. That interest reflects the broader momentum toward alternative marine fuels across the sector. Is Exolum considering establishing similar biomethanol infrastructure at other UK ports? Yes, where customer demand materialises. We operate terminals at 10 major UK ports, which gives us a strong platform to scale green fuel logistics as markets develop. Our ambition is to build a green bunkering network aligned with how fleets, trade routes and green shipping corridors evolve. Immingham demonstrates the model; replication will depend on demand, emerging routes and the clarity of long-term policy frameworks. Rotterdam biomethanol sales have increased to 11,800t in 2025. Do you see Immingham becoming a meaningful competitor, or will the centre of gravity remain in the ARA region? The growth in biomethanol volumes at Rotterdam underlines the structural strength of the ARA region. Scale, liquidity and proximity to multiple end-users continue to make it the natural hub for trading and redistribution. Immingham has clear potential, particularly linked to UK industrial demand and early marine applications, and it can develop into a meaningful regional hub. However, we do not see it as a direct competitor to ARA. In the near to medium term, the centre of gravity for biomethanol will remain in ARA, with ports like Immingham playing a complementary role as volumes grow and use cases expand. By Evelina Lungu Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
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