A Brazilian electric generation company has announced it will auction 492,647 Verified Carbon Units (VCUs) from a hydro project in the southern part of the country on Wednesday, Nov. 7.
The sale of vintage 2010 VCUs will be held at 1300 local time (1600 GMT) by Energetica Barra Grande S.A. (BAESA), which owns the Barra Grande Energetic Project on the Pelotas River in the state of Rio Grande do Sul.
The project, originally registered under Verra’s Verified Carbon Standard (VCS) in 2009, contains an installed capacity of 708 MW and is expected to generate nearly 6.1 million tonnes of CO2e reductions over the project’s second crediting period.
The sale will be held in a ‘Dutch style’ auction, with prices starting at $1.00/tonne and declining by 5 cents every 2 minutes. Participants must submit a minimum bid of 10,000 VCUs.
The auction will last for 30 minutes or until the entire quantity is purchased.
BAESA will utilise the Carbon Credit System of Trading of Paradigma to host the auction, and will also conduct a simulation of the sale on Nov. 6 at 1300.
VCS data shows the project was most recently issued over 1.1 mln VCUs in 2012.
More information about the sale can be found here.