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TOP STORIES
EU industries exposed to ‘full loss of export markets’ due to climate policies -report
While the EU’s Carbon Border Adjustment Mechanism (CBAM) provides an effective protection against imports of cheaper CO2-intensive products into Europe, it omits a crucial export dimension, with potentially devastating consequences for sectors like steelmaking and fertilisers, according to a new report.
‘Anecdotal evidence’ that CBAM is spurring carbon pricing initiatives worldwide, EU official says
The EU’s Carbon Border Adjustment Mechanism (CBAM), which came into force last year, is spurring new carbon pricing initiatives in countries around the world as they seek to avoid the CO2 tariff, an official has said, adding however, that not all of these schemes are comparable to the bloc’s ETS.
ASIA PACIFIC
China updates emission factors for domestic power sector to strengthen carbon accounting
China has published a set of emission factors for the power sector, as it seeks to strengthen carbon accounting requirements for domestic companies for the national emissions trading scheme as well as ahead of the introduction of the EU carbon border adjustment mechanism (CBAM).
Singapore, NZ leaders agree to cooperate on carbon markets
Singapore and New Zealand have agreed to work together on carbon markets as one of several green economy measures, according to an agreement signed between the two countries Monday.
AU Market: Vast sum of ACCU holdings leads ANZ to downgrade price forecast
The continued growth of Australian Carbon Credit Units (ACCUs) holdings by Safeguard entities and intermediaries has caused ANZ to downgrade its 12-month forecast price, but the bank noted there would still be some upside pressure.
Activist capital fund lobs merger bid at Australian carbon project developer
An Australian activist capital fund has launched a takeover bid for a local carbon project developer, it told the market, one of several investments it has made in the country’s carbon industry.
Southeast Asia “woefully” behind in race to meet near-term transition goals -report
Southeast Asia will need $1.5 trillion to reduce the 2.4 gigatonnes of CO2e required to meet its 2030 emissions targets, but is “woefully” off track, according to a report released Monday.
Japan moves to bring more hydrogen projects into JCM
Japan on Monday released a funding call under the Joint Crediting Mechanism (JCM) for hydrogen or other new technology projects that so far have been moving ahead without carbon finance.
VOLUNTARY
VCM Report: SBTi spark fizzles out by end of week, voluntary carbon prices little changed, liquidity thin
Prices were little changed last week on low volume, but the Science Based Targets initiative (SBTi)’s sudden change of policy to allow qualifying voluntary carbon credits to be used to offset some corporate emissions could inject a surge of investment and interest in the voluntary market.
Former Xpansiv, ICAP carbon market stalwarts team up to launch new trading firm
Four voluntary carbon market professionals have teamed up to launch a new trading and advisory desk, they said Monday.
INTERVIEW: Shift towards standardisation will spur market growth, but buyers must be willing to pay well for good credits, says Indian climate startup
Global carbon markets are slowly moving towards standardisation and there will be a demand for specific types of carbon from a specific group of people, according to the co-founder of an Indian climate startup.
Canadian hemp products manufacturer buys majority stake in voluntary carbon sequestration standard
A Canadian manufacturer of sustainable hemp products has bought a majority stake in a platform that creates and distributes carbon sequestration certificates to projects that use the material, as it looks to expand its reach in the voluntary market.
Climate risk analysis startup raises $3.5 mln in seed funding
A UK-based climate risk analysis startup has raised $3.5 mln in seed funding, it announced Monday.
INTERNATIONAL
Debt swaps could funnel more than $100 bln to nature and climate, says report
Debt-for-nature and debt-for-climate swaps could free up more than $100 billion to spend on restoring nature and climate mitigation and adaptation, according to updated analysis based on a 2022 report by the UK-based International Institute for Environment and Development (IIED).
Foreign exploitation driving fossil fuel exports in developing countries, say NGOs
Developing countries are stuck in a vicious cycle exporting climate-destructive raw materials like oil and gas, and importing processed goods from wealthier countries, according to panellists speaking on a climate finance webinar Monday, in what may be compromising international emissions reduction goals.
AMERICAS
RGGI Market: RGAs trade on high volumes as market looks for price equilibrium
RGGI Allowance (RGA) prices wound down from volatile activity in weeks prior but continued to trade at higher volumes last week, driven by compliance demand, market participants said.
US power producer lowers 2042 emissions target, leans back on coal-fired plants
A gas-fired power producer with facilities across several US states has revised its energy portfolio framework finalised less than a year ago, now forecasting fewer CO2 cuts due to delayed retirements of coal-fired units and increased use of gas-powered electricity.
Two Quebec firms partner to decarbonise electricity, natural gas distribution via CCS
An energy distributor has announced a project partnership with another Quebec-based carbon capture and sequestration (CCS) company, aiming to decarbonise their industrial operations.
EMEA
Greater transparency, predictability needed for future EU ETS intervention, says think tank
There needs to be a more transparent and predictable approach to regulatory interventions in the EU ETS, a report from a think tank said Monday.
Euro Markets: EUAs fluctuate after early steep drop as energy markets gyrate on geopolitical gusts
European carbon prices fell sharply in line with energy at the open on Monday, before fluctuating across the session as tensions in the Middle East appeared to lessen after Iran’s weekend drone strikes against Israel were largely defeated, with participants reporting a slight relaxation in market risk.
BIODIVERSITY (FREE TO READ)
Conservation tech firm, Bloomberg Ocean Initiative launch tool to monitor marine biodiversity protection
A non-profit tech company and the Bloomberg Ocean Initiative have launched an open-source tool to track global progress in marine conservation.
Denmark pledges nearly $300 mln to plant forests, enhance water ecosystem
The Danish government has allocated DKK2 billion ($285 million) to initiatives aimed at strengthening biodiversity across the country, including planting forests and enhancing water ecosystems.
COMMENT
A Q&A on EU ETS2
Stefan Feuchtinger, Head of Market Research and Analysis at Vertis Environmental Finance (VEF), answers all the questions you’ve ever wanted to ask about the upcoming EU ETS2.
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Job listings this week
- *Technical Advisory Committee Member, Plan Vivo Foundation – Remote
- *Climate Policy & Market Specialist (f/m/d), KAYA Climate Solutions GmbH – Berlin
- *Feature Writer/Sub-Editor, Carbon Pulse – North America
- *Environmental Markets Correspondent, Carbon Pulse – Latin America
- Investment Manager, Nature-Based Solutions, Qantas – Sydney
- Climate & Energy Policy Analyst (x2), Climate Analytics – Perth
- Land and Property Delivery Specialist Carbon Projects, AGL – Melbourne
- Junior Forest Carbon Analyst, Ostrom Climate – Philippines
- Carbon Trader, Gaia Environment – Singapore
- Green Certificate and Carbon Trader(s), ElectroRoute – London
- VCM Policy Director, IETA – US (East Coast) or London
- Technical Officer, Sayari Earth – Western Cape, South Africa
- Senior Director, Carbon Finance Origination & Deal Lead (Americas), Conservation International – Brazil/Peru
- Senior Manager, Carbon Projects, American Forests – Western US (CA, ID, MT, NM, OR, WA)
- Senior Manager, Tribal and Indigenous Partnerships, American Forests – Western US (CA, ID, MT, NM, OR, WA)
- Account Executive, P6 Technologies – Remote (US)
*Premium listings
See all listings or post a job
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CONFERENCES
European Climate Summit – April 16-18, Florence: To kick off its annual regional climate summit series this year, IETA looks forward to welcoming delegates to its flagship ECS2024 event, taking place in Italy. ECS comes at a key inflection point for the region’s carbon market. How will the European carbon market evolve in its next phase, which starts in 2031? Around the world, carbon markets are emerging at the fastest ever pace, with new emissions trading systems being developed from Brazil to Vietnam. More markets may mean more opportunities for international cooperation and linking, and some of these could come to Europe. The health of the voluntary carbon market is also a hot topic this year, as the market works to overcome challenges. Environmental integrity and robust quality assurance are at the top of everyone’s mind, and IETA’s ECS2024 will address these issues as well. To register, simply click HERE to join as a delegate. In-person event.
Next steps for the UK Emissions Trading Scheme – April 22, Online: Hosted by Westminster Energy, Environment & Transport Forum, stakeholders and policymakers will explore priorities for implementation and maximising the carbon market’s contribution toward the UK’s net zero strategy. Discussion will consider policy priorities, challenges for industries, and plans to expand the scheme to include domestic shipping and energy from waste. Sessions will also explore the auction reserve price, the forthcoming CBAM, and strategies to enhance the UK ETS’s efficacy while mitigating negative impacts. Book your place
Carbon Forward Turkiye – May 9-10, Izmir: With the launch of the pilot ETS in Q4 and a burgeoning voluntary carbon market in the country, this event will give attendees an understanding of the significant impact these schemes, as well as the EU’s CBAM, will have on your business. Full conference agenda coming soon. Secure your spot
Argus Asia Carbon Conference – May 13-15, Kuala Lumpur: Join over 200 industry leaders and senior government officials at the Argus Asia Carbon Conference in Kuala Lumpur on 13-15 May 2024. Connect with key players and explore new opportunities in the region as we discuss innovations in carbon technology, advances in voluntary and compliance markets, the impact of CBAM, financing, nature-based project developments, and more. With ministerial addresses and keynote sessions from Petronas and SaraCarbon, this is your opportunity to gain valuable insights on pan-Asia’s evolving carbon markets. Register
Argus Europe Carbon Conference – May 21-23, Nice: Plan your carbon strategy through market-driven decarbonisation solutions at the at the Argus Europe Carbon Conference on 21-23 May in Nice, France, as we examine the EU ETS and other global compliance structures, voluntary carbon markets and their intersection with carbon abatement industries. This year’s agenda covers the integration of the maritime sector into the EU ETS, the impact of Europe’s exported carbon price through CBAM, developments in carbon removal technologies, voluntary certification methods, and developments around diverse, high-quality credits from Verra and many other leading standards. Register your place to explore new opportunities within Europe and globally.
Eurelectric “Lights ON” Power Summit – May 22-23, Lagonissi, Greece: This is our biggest event gathering every year around 500 energy experts across Europe. This year, we’ll welcome more than 60 speakers to discuss:
- Getting Europe’s power infrastructure ready for net-zero
- Delivering on the EU 2040 climate targets
- Powering Europe’s industrial competitiveness with affordable energy
- Ensuring security of supply in more hostile energy geopolitics
- Implementing the electricity market reform
- Speeding up digitalisation
- Integrating renewables with biodiversity
Carbon Forward North America – June 11-12, Toronto and Online: Join us in the Great White North to hear about the evolving carbon pricing and climate policy landscape in North America. Whether you are an emitter, investor, developer, or a new participant in any of the continent’s carbon markets – compliance or voluntary – Carbon Forward North America offers you the opportunity to gain knowledge on both present and future policy developments and market opportunities. Explore the chance to meet the right people or source the right solutions to help you enhance your business prospects or minimise your risk. Come meet the region’s world-leading carbon market experts, compliance players, government officials, investors, project developers, analysts, brokers, and other stakeholders. Agenda to be released soon. To express an interest in speaking or sponsoring, please email michelle@carbon-forward.com
Carbon Forward Expo – October 8-10, London and Online: Save the date! More info coming soon…
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BITE-SIZED UPDATES FROM AROUND THE WORLD
EMEA
E-fuel partnership – Environmental commodities trader STX Group is partnering with e-fuel producer Norsk e-Fuel to promote biogenic CO2 deliveries to future Norsk e-Fuel production sites for fossil-free fuels across the Nordics, the two announced today. The collaboration aims to address key challenges hindering the growth of the European CCUS market, including insufficient CO2 transport infrastructure and scalable CO2 source availability. Norsk e-Fuel is industrialising the production of e-fuels with a focus on the aviation industry, as the sector faces growing pressure to address its environmental impact such as with the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) and potential measures to reduce demand for flight. Norsk e-Fuel aims to secure 700,000 tonnes of e-fuel annually by 2030.
Patchy performance – Only a minority of European Parliament members (MEPs) during the 2019-2024 mandate acted to protect Earth’s climate, nature, and air quality, according to new data from five environmental organisations including WWF and Climate Action Network Europe. Instead, the research finds that most MEPs acted to delay action with patchy or inconsistent voting record, or even completely failing to rise to the challenge of the urgent climate crisis. Scoring highest for voting records on climate, nature and pollution legislation were the Greens/European Free Alliance, with an overall score of 92/100, followed by the Left with 84/100, and the Progressive Alliance of Socialists and Democrats with 70/100. At the opposite end, the poorest scorers were the European People’s Party with 25/100, European Conservatives and Reformists with 10/100, and the Identity and Democracy party with 6/100.
CCS lifeline – Carbon capture and storage (CCS) technologies are vital to enabling Germany to reach its climate neutrality target by 2045, say academics in a research paper by the National Academy of Science and Engineering (acatech), the German National Academy of Sciences (Leopoldina) and the Union of the German Academies of Sciences and Humanities. The institutions acknowledged current work by the German government to define a carbon management strategy and negative emissions strategy but said that known details so far fail to clearly define in which cases CCS should be allowed. Also, the focus should continue to be on mitigation through methods like renewable energies, hydrogen, and low-emissions manufacturing, the researchers say. Germany’s upcoming carbon management strategy is set to define guidelines for dealing with CCS. (Clean Energy Wire)
Russian grip on carbon – The government of Russia has amended its rules for maintaining a registry of carbon units and the standard agreement with the operator of the carbon unit registry, with the changes in force since April 13, 2024. The amendments concern two legal acts in particular. Firstly, the register of carbon units must contain information about encumbrances of carbon units and quota fulfillment units, as well as all operations related to their offset, in addition to information about the account owner and some other details. Secondly, the client must assure the registry operator that the results of implementing a particular climate project will not be used in any other way than for the release of carbon units.
Carbon baton – The 2024 Paris Olympics promises a gold-winning climate performance and to set the pace for future games. Carbon Market Watch’s assessment reveals that, despite improvement, the carbon footprint of the Olympics remains far too high to be sustainable. Organisers have set a carbon budget of 1.5 mln tonnes of CO2e for these games – aiming to more or less halve the emissions associated with the 2012 London Olympics (3.3 mln tonnes) and 2016 Rio edition (3.6 mln tonnes). However, it is very difficult to assess it as it remains unsubstantiated. Stay tuned, as we look into this story.
ASIA PACIFIC
Call for oversight – A coalition of climate groups filed shareholder proposals with Japan’s top three banks, including Mitsubishi UFJ Financial Group, calling for stricter board oversight of climate-related risk, according to Reuters. The proposals from Australia’s Market Forces, Japan’s Kiko Network, and a representative of Rainforest Action Network reflect governance standards set by the International Sustainability Standards Board (ISSB), marking the first time green groups have targeted the banks’ boards to pressure the lenders on climate change, the report said.
Flying high – The Victorian state government on Monday welcomed the opening of Dovetail Electric Aviation’s Development Centre, an Australian-first electric aircraft centre at LaTrobe University’s Aerospace Technology Precinct. Dovetail will retrofit regional aircraft with batteries and hydrogen propulsion, enabling zero-emission flights, according to the government. The centre will be used for R&D and potentially for flight testing. The company will help the state government achieve its net-zero emissions by 2045 target, the government said. Last month, Dovetail announced a stake of itself had been acquired by Aciturri, a Spanish aerostructures supplier and engine components manufacturer, becoming a lead investor in the company’s seed investment round Tranche 2. Dovetail is initially targeting certification of its first battery-electric powered aircraft in 2026.
Not zero without nuclear – A study conducted by the Indian Institute of Management Ahmedabad has found that India’s net-zero emissions target of 2070 is not possible without substantial nuclear power generation and its capacity must be in the range of 78 – 331 GW under different energy transition scenarios by 2070 against existing capacity of around 7.5 GW. The study was supported by the office of principle scientific advisor to the government. The total installed electricity capacity in India stands at 428 GW currently. According to the study, India will have to increase its electricity generation capacity by more than double where the share of nuclear power must be in the range of more than 8-35% in 2070, the Times of India reported.
AMERICAS
California cement – Cement technology firm Fortera opened the first industrial green cement and carbon mineralisation facility in North America, located in Redding, California, the firm announced Friday. Fortera’s ReCarb plant will capture 6,600 tCO2 and produce 15,000 tonnes of low-carbon cement each year. The new facility is adjacent to cement producer CalPortland’s cement plant – Fortera captures CO2 emitted during the cement production process and draws the gas from CalPortland’s flue gas stack into its ReCarb plant, where it undergoes mineralisation to transform the gas into low-carbon cement.
Local green financier – Illinois Senate Bill 3597 that would allow local government to apply for loans through the Illinois Finance Authority (IFA) passed the state Senate on Thursday and was introduced to the House Rules Committee after first reading in the lower chamber on Friday. The IFA loans would be used to build, purchase, remodel, or improve clean energy infrastructure without proposal approval, if the loan is paid or provided for with funds that are not the proceeds of bonds authorised under the provisions. Last year, the IFA became a sub awardee of Inflation Reduction Act (IRA) funding, mobilising $256 mln for climate finance. On Monday, Senator David Koehler (D) was added as co-sponsor to SB 3597, which Democrat Senator Rachel Ventura introduced initially on Feb. 9.
Forest thinning hearing – The US House of Representative’s Natural Resources Committee will hold hearings this week on a Republican bill to more quickly thin forests deemed to be in danger of wildfire, reported E&E News. Representative Bruce Westerman (R-AR), the chair of the committee, has proposed legislation that calls for categorical exclusions from the National Environmental Policy Act to designate emergency fire sheds every five years, beginning with areas already highlighted in the Biden administration’s 10-year wildfire strategy. More areas would be listed every five years, with projects not subject to environmental assessments or environmental impact statements. The bill would also provide for exclusions along electric power lines’ right of way.
LNG hearing – The House Oversight and Accountability Subcommittee on Economic Growth, Energy Policy, and Regulatory Affairs on Thursday will hold a hearing on the ongoing pause on LNG export approvals. Led by Representative Pat Fallon (R), the panel will discuss the impacts of the pause on American companies’ ability to procure permits, as well as the construction and capitalisation of new LNG projects. The Biden administration’s pause on pending and future approvals of LNG exports in January has sparked opposition from Republicans who argue that the freeze not only undermined the US economy and energy security, but also imperiled allies who relied on American LNG. The Republican-controlled House of Representatives in January also passed a bill to resume LNG export approvals, but a motion to reconsider the bill was introduced shortly after and agreed to without objection.
Summiting challenges – Growing opposition from US corn farmers against Summit Carbon Solutions’ proposed pipeline has added to a mounting list of challenges that the developer is facing in getting the project off the ground, Bloomberg reported Saturday. Summit’s $5.5 bln, 2,000-mile (3,200 km) Midwest Carbon Express CO2 pipeline aims to carry 18 Mt of CO2 from over 30 ethanol plants throughout the US Midwest for permanent underground storage in North Dakota. But the project is now facing a two-year delay following permit denial from both the Dakotas, while Iowa — the country’s top corn state — is expected to release its permit decision any day now. As the US corn industry looks for new buyers in light of reduced demand for ethanol-blended gasoline, CO2 pipeline proponents claim that such projects will play a crucial role in slashing industry emissions, helping make corn-based products more appealing for sustainable aviation fuel. But some corn farmers who are usually supportive of the ethanol industry aren’t convinced the company’s solution is the right one, particularly as its initial approach toward landowners was viewed by some as too adversarial, or even bullying. Some farmers claim that the price that they were offered for the contract was like “a slap in the face”, while others cite safety concerns.
VOLUNTARY
Leaving the building – Stephen Donofrio has left Forest Trends Association and Ecosystem Marketplace after 10 years to move on to “the next chapter” of his professional journey, he said on LinkedIn. He was the Managing Director at both organisations. No further details were provided.
Agricultural agreement – Arizona-based Biodel AG and Australian carbon registry and MRV provider Carbon Asset Solutions (CAS) have announced a strategic partnership to deliver carbon credit measurement and regenerative carbon programming as an integrated service offering. Under the agreement, Biodel will initially target 50,000 acres (some 20,200 hectares) of carbon projects in the western US in 2024. Biodel’s Regenerative Carbon Program, based on CAS’s carbon credit measurement solution, simplifies the process of carbon accumulation while generating greater income per acre, the companies said in a press release.
Logged in secret – The municipality of North Cowichan, located on Vancouver Island in British Columbia, Canada, commissioned a report from KPMG to corroborate Nov. 2022 analysis from project developer 3GreenTree (acquired by ClimeCo), which found that the region’s 5,000 hectare Municipal Forest Reserve could earn millions of dollars more in carbon-credit sales than logging over a 30-year period, environmental journalist Larry Pynn reported. However, the report was only released after a freedom-of-information request and was stamped as private and confidential. The June 2023 KPMG report was considered by municipal council as recently as Mar. 6, but has not yet been shown to the Quw’utsun Nation, which is holding closed talks with the municipality over future management of the reserve. According to public consultation, 76% support conservation management of the reserve while just 17% support status-quo logging.
AND FINALLY…
Get out of the kitchen – The Atlantic Council’s Arsht-Rock Resilience Center has announced the launch of its new heat resilience game using the Minecraft Education Platform: Heat Wave Survival to bring critical information on extreme heat to students and gamers around the world. In the game, students embark on a quest to protect their virtual village from the notorious heat dragon. They are challenged to explore countries around the world in search of cooling solutions that can not only protect them in the digital world but also in real life. The game and curriculum are accessible on Minecraft Education, which is used by millions of students around the world. The content was designed for students between the ages 7 and 18 and is free for all registered users.
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