**CP Daily will not be published between Dec. 25 and Jan. 1. Carbon Pulse will file stories and send out CP Alerts on merit during that period. Regular coverage will resume Jan. 2.**
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TOP STORY
ANALYSIS: 2024 ends in frustration for nature with trust among countries at low ebb
(Free to read with Carbon Pulse login) – Frustration over inaction on the nature crisis has built following the overall poor outcomes of this year’s international talks, in what is described as an unprecedented climate of distrust, with observers arguing 2025 could be critical for global efforts on biodiversity.
VOLUNTARY
DATA DIVE: Voluntary carbon market on course for record annual credit retirements
Based on data so far in December from major registries, the voluntary carbon market is set to record its biggest year ever for credit retirements, new analysis from Carbon Pulse shows.
Gold Standard to make decision on new CLEAR cookstove methodology next year
Gold Standard has confirmed to Carbon Pulse that it will make a decision on whether, or how, to integrate the UN-backed CLEAR clean cooking methodology within its carbon crediting programmes in 2025.
Carbon standard publishes first protocol for crediting removals in mining sector
A carbon removal standard has published the first protocol for durable carbon removal (CDR) in the mining industry.
Voluntary carbon developer launches tool to sell offsets via e-commerce platforms
A Canada-based carbon credit developer has this week launched a tool allowing e-commerce shoppers to offset emissions at checkout from shipping.
Global consultancy plans to hit net zero by 2025 with nature-based removals
Global consultancy Accenture is investing in nature-based carbon removals to tackle residual emissions and reach its net-zero target by 2025, the company revealed this week.
EMEA
Oslo court quashes NOK 400 mln EU ETS fine against Norwegian Air
An Oslo court has ruled that Norwegian Air Shuttle ASA was not obligated to fulfil its obligations under the EU ETS for 2020 during its reconstruction process, and that a NOK 400 million (€33.8 mln) penalty imposed on the carrier by the country’s Environment Agency was unlawful.
One-third of local authorities unaware of impact of UK ETS expansion on waste sector, finds survey
Around one-third of local authorities are unaware of how the upcoming expansion of the UK carbon market will impact incineration and energy recovery of waste, a survey has found.
Finnish carbon project developer expands into green steel with biochar solution
A Helsinki-headquartered project developer has unveiled plans to decarbonise heavy industry by introducing biochar as a biogenic alternative to fossil-based products in steelmaking.
“Last throw of the dice”: UK council targets carbon removal to support negative emissions goal
A UK council announced this week it has become the first local authority to commit to a beyond net zero strategy, with plans to help scale carbon removal (CDR).
Euro Markets: EUAs end marginally higher despite healthy TTF gain as activity starts to wind down
Volatility and trading volume in European carbon allowances diminished on Friday while prices were on marginally higher at the close despite a healthy gain in TTF gas, leaving EUAs with a 5.9% weekly gain as market participants started to clear their desks ahead of the holiday break.
AMERICAS
Developer launches appeal after judge rules in favour of Indigenous people in case over large Peruvian REDD project
A Peruvian offset developer on Friday appealed a case involving one the world’s biggest historical issuers of REDD-based carbon credits, after a judge ruled against the project’s backers, including several government agencies, and ordered the nullification of some forest concessions.
New Mexico releases draft rules for clean transportation fuel programme
The New Mexico Environment Department (NMED) released Thursday a discussion draft of its future Clean Transportation Fuel Standard (CTFS), inviting public comments until mid-January.
WCI Q1 auction sees allowances drop after Q4 rise
The California-Quebec joint WCI auction in February will offer a lower volume of allowances in the first quarterly allowance sale of 2025 than it did in the last of this year, according to a Friday notice from California regulator ARB.
Washington’s CFS won’t incentivise biomethane investments, industry warns
Dairy industry members were dissatisfied with Washington’s proposed revision to its Clean Fuel Standard (WCFS), arguing that the regulator’s considerations for biomethane fell short of incentivising investment.
CFTC: Both producers and managed money dilute V25s across WCI, RGGI carbon markets
Producers and managed money narrowed their California Carbon Allowance (CCA) and RGGI Allowance (RGA) net V25 length, even as the groups continued to build their open interest (OI) in the vintage year across both markets, data released Friday from the US Commodity Futures Trading Commission (CFTC) showed.
Canada publishes first climate disclosure standards
Canada’s first sustainability and climate disclosure standards were published Wednesday, enabling companies to voluntarily adopt the measures until mandated by provincial and territorial securities regulators.
LATAM Year in Review: Carbon markets spring forward as major economies advance pricing schemes
Carbon Pulse rounds up the most significant carbon pricing trends and developments in the Latin America and Caribbean (LATAM) region for 2024, highlighting a diversifying and increasingly international markets landscape, as major regional powers, notably Brazil, took a big step forward in advancing mechanisms.
ASIA PACIFIC
Second Trump presidency forces Australia to push back 2035 NDC advice -Climate Change Authority
The election of US President Donald Trump means Australia’s Climate Change Authority (CCA) will delay its advice on the country’s 2035 climate target in order to conduct further analysis, according to local media.
Australia’s large miners push back against SBTi Scope 3 emissions cuts
A group of the largest miners working in Australia have “warmly welcomed” the Science-based Target initiative’s (SBTi) discussion paper on Scope 3 emissions, but said the idea of up to a 50% cut in Scope 3 emissions by next decade would not be possible.
New Zealand appeals court dismisses climate change inaction case against govt
New Zealand’s Court of Appeals has struck out a long-running case against the government over its failure to act on climate change, but left the door open for rights-based climate cases in the country.
CN Markets: CEA price remains below 100 yuan, weekly volume drops
Prices in China’s national emissions market were stuck below the 100 yuan ($13.70) mark over the past week, with trading volumes retreating as some major emitters have finalised their 2023 compliance.
Leadership reshuffle at Australia’s largest soil carbon project developer
The managing director of Australia’s largest soil carbon project developer has become chair, with the company’s general manager stepping into fill his place.
BIODIVERSITY (FREE TO READ)
All our nature and biodiversity articles remain free to read (no subscription required). However, we now require that all readers have a Carbon Pulse login to access this content in full. To get a login, sign up for a free trial of our news. If you’ve already had a trial, then you already have a login.
INTERVIEW: High expectations for governments to back biodiversity markets in 2025
The ongoing environmental crises are unlikely to be solved unless crediting schemes move beyond just carbon, with governments now tasked with starting establishing common metrics on biodiversity to back the market uptake, a researcher at the Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services (IPBES) told Carbon Pulse.
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ADVERTISING BROCHURE
Carbon Pulse has published its 2025 advertising brochure and media pack, featuring updated offerings and prices. With that, bookings are now open for advertising on our website and in our newsletters next year.
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EVENTS
Carbon Forward Middle East – Jan. 16-17, Abu Dhabi – Announcing Carbon Forward Middle East in Abu Dhabi, a great new event to explore carbon markets in the MENA region. We’ll be releasing more details about this conference soon. For now, put Jan. 16-17 in your calendar and email info@carbon-forward.com to express interest in attending, speaking, or sponsoring.
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Premium job listings
- Senior Program Officer, Carbon Markets, Asia Society Policy Institute (ASPI) – Washington DC/at Asia Society Centers in US, India, Korea, Japan, Australia, France, or Switzerland
- Assistant Director, Carbon Markets, Asia Society Policy Institute (ASPI) – Washington DC/at Asia Society Centers in US, India, Korea, Japan, Australia, France, or Switzerland
See all listings or post a job
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BITE-SIZED UPDATES FROM AROUND THE WORLD
EMEA
Four-wheel – President of the European Commission Ursula von der Leyen announced her decision to convene a Strategic Dialogue on the Future of the Automotive Industry in Europe. The Dialogue will be officially launched in Jan. 2025, with a view to swiftly proposing and implementing measures the sector urgently needs. Read Carbon Pulse’s latest on the automotive chaos.
LNG approval – The EU Commission has approved, under EU State aid rules, an estimated €4.06 bln German measure to support the operation of four storage and regassification units for the import of liquefied natural gas by Deutsche Energy Terminal. In case of higher losses than expected, the total net contribution could amount to €4.96 bln.
Bad record – Russian LNG imports to the EU have reached a record high this year despite the bloc’s attempt to cut off dependence on gas from the country following Moscow’s full-scale war on Ukraine, the FT reports. Europe imported a record 16.5 mln tonnes of Russian LNG as of mid-December, above last year’s imports of 15.18 mln tonnes, according to commodities data provider Kpler. The amount is also higher than the last record of 15.21 mln tonnes imported in 2022.
Dirty threats – US President-elect Donald Trump has warned the EU that it will face trade tariffs on its exports to the US unless its member states buy more American oil and gas, the Guardian reports. Trump reignited fears of a looming trade war between the US and the EU in his first public statement regarding trade since he was elected president in November.
New wind record – Onshore and offshore wind farms in the UK set a record of more than 22.5 GW of electricity generation on Wednesday this week, providing 68.3% of the country’s power and exceeding the previous record of 22.4 GW recorded on Sunday. Renewables generated half of the UK’s electricity in the third quarter of the year, with wind alone contributing 36% of the country’s power, government figures show. Renewables generated more than 50% of the country’s electricity for the last four consecutive quarters for the first time, according to industry body RenewableUK. (Independent)
Extended tariffs – The Russian registry of carbon units has extended the current tariffs until June 30, 2025, an announcement said Friday. This is in accordance with the resolution of the government of the Russian Federation dated Mar. 30, 2022 (as amended on Nov. 30, 2022) “On the Procedure of Determining the Fees for the Services Provided by the Registry Administrator for the Operation of the Registry of Carbon Units”.
ASIA PACIFIC
I choose you – The Tokyo Metropolitan Government has selected more small-to-medium businesses to start voluntary projects that can create carbon credits, as well as businesses that will use credits to support their net decarbonisation efforts. The work follows an initial selection process held in August. Two companies, Kawase Printing and Tokukura, were selected to update or renew air conditioning equipment which will generate J-Credits, while three, Obata Medical Foundation, Murai, and Moriyama Medical Association, were chosen to reduce emissions by purchasing J-Credits. An urban cap-and-trade programme operated by the metropolitan government – Japan’s first mandatory emissions trading scheme – has been running since 2010, covering around 1,200 facilities including large commercial and industrial buildings.
JV formed – Meridian Energy and Nova Energy have signalled their intent to form a 50-50 joint-venture to build and operate a 400 MW solar farm near Taupo, New Zealand. Meridian told the ASX the A$660 mln ($410 mln) project received consent in April and could produce enough electricity to power around 100,000 homes. The project intends to reach final investment decision in Q1, 2025, with offtake to be shared 50-50 between the two parties.
Howdy partner – Australia and South Korea have signed a bilateral agreement on climate and energy cooperation with a focus on carbon sequestration, renewable hydrogen, and clean energy technology. The Australian government announced Friday it had signed a Green Economy Partnership Agreement on Climate and Energy with the Republic of Korea. The new partnership will boost cooperation in renewable hydrogen, clean energy technologies, green metals, and carbon sequestration. The two countries already cooperate through a partnership focussed on low and zero emissions technology, including hydrogen supply, low emissions steel and iron ore, and carbon capture and storage.
Strengthening relationships – Tokyo Gas has signed a memorandum of understanding (MoU) with Malaysia’s Petronas regarding joint research into carbon-neutral technologies, including hydrogen and CCS. The two companies are working on hydrogen cell stack technology for water electrolysis. Tokyo is developing CCS technology, while Petronas is considering multiple offshore CCS projects, a Tokyo Gas statement said. The companies hope to use the partnership to accelerate decarbonisation efforts.
AMERICAS
DAC dollars – The US DOE’s Office of Clean Energy Demonstrations (OECD) opened applications Thursday for $1.8 bln in previously announced funding for DAC projects. The OECD said the funding would be split between three topic areas – infrastructure access platforms (1-3 projects with a maximum of $250 mln each), mid-scale DAC facilities (4-8 projects with a maximum of $50 mln each), and large-scale DAC facilities (2-6 projects with a maximum of $600 mln each). Deadlines for both concept papers and pre-Applications are due by Jan. 31, 2025, and full applications due by July 31, 2025.
Distributing $850 mln – The US DOE allocated its prior announced $850 mln to reduce oil and gas methane emissions to one tribal consortium, 11 universities, and 20 private companies. The agency announced on Friday that three projects will help small operators across the country reduce methane emissions from low-producing oil and natural gas operations, 31 projects will accelerate deployment of early-commercial technology solutions to reduce methane emissions from new and existing equipment, four projects will improve communities’ access to empirical emissions data and participation in monitoring and five projects will enhance the detection and measurement of methane emissions from oil and gas operations at regional scale.
More life for a gas field – The California Public Utilities Commission approved a plan Thursday to close the Aliso Canyon natural gas field once demand drops below a certain threshold, E&E News reported. The Aliso Canyon site became controversial in 2015 after it was discovered that a well within a gas storage facility owned by SoCal Gas was leaking methane within the city of Los Angeles. The state’s utility commission voted 4-0 to close the field once demand drops below 4.1 mln cubic feet per day, which likely won’t be until after 2030, according to SoCal Gas.
Walmart won’t make it – Walmart has announced it is unlikely to meet its emissions reduction targets for 2025 and 2030, citing challenges in energy policy, infrastructure, and low-carbon technologies. The retailer had aimed to cut GHG emissions from its operations by 35% by 2025 and 65% by 2030, compared to 2015 levels. However, Walmart stated this week that progress is delayed, and it may revise the goals in 2024. Despite these setbacks, Walmart reaffirmed its commitment to achieving net-zero emissions across its global operations by 2040. The company highlighted global business expansion as a significant hurdle, with revenue increasing 6% to $648 bln in the year to Jan. 2024, while operational emissions rose 3.9% to 15.1 Mt. Three key factors contributed to the emissions increase in 2023: rising pollution from refrigerants due to ageing equipment, a 10% rise in transport emissions linked to fleet expansion, and the outpacing of renewable energy purchases by business growth. Walmart met 48% of its electricity needs with renewables in 2023, on track for its 2025 goal of 50%. Walmart does not have binding targets for scope 3 emissions, which include its supply chain and product use, and these emissions rose 5.3% to 618.9 Mt in 2023, exceeding the annual emissions of the UK. (FT)
REDD-y, set, go! – Argentina’s first REDD+ project, Selva de Urundel (VCS 3739), has successfully completed validation and verification under Verra’s VCS and CCB standards and is poised to issue credits in Q1 2025. The project aims to protect a forest area covering nearly 47,000 hectares in the Southern Yungas region. It is estimated to avoid 320,263 tonnes CO2 per year. The development comes as new carbon projects take off in Argentina – which has historically been a minor player in international carbon markets – including anticipated issuances of around 10 mln credits from the Misiones province jurisdictional REDD+ programme early next year.
Exceeding EV expectations – California ARB released data showing that manufacturers of zero-emission vehicles continue to over-comply with the state’s ZEV Regulation, and that the extent of the over-compliance “continues to grow as the technology matures” and as supportive policies expand. The ZEV Regulation requires manufacturers to offer for sale a specific number of clean cars, which can be anything from battery-electric vehicles to hydrogen fuel cell electric vehicles. Every vehicle manufactured produces a certain number of credits based on its electric driving range. Manufacturers that produce credits beyond what they need for compliance can bank them for a future reporting period or sell them to other manufacturers. For model year 2023, manufacturers were required to generate nearly 290,000 credits. They exceeded that mark by over 4 mln.
EPA chief announces departure – US EPA Administrator Michael Regan announced his departure from the agency in a Friday letter to agency employees, the AP reported. Regan said he plans to leave the agency Dec. 31 – three weeks before the end of President Joe Biden’s term. He said he plans to return to his home state of North Carolina, where he previously served as the Secretary of the North Carolina Department of Environmental Quality. He was picked to lead the EPA in early 2021. EPA Assistant Administrator Jane Nishida will serve as acting administrator through the end of Biden’s term. President-elect Donald Trump has named former New York Rep. Lee Zeldin to lead the EPA in Trump’s forthcoming term. Zeldin has pledged to slash environmental regulations and eliminate rules on power plants and fossil fuel production.
Green fuels in Texas – ETFuels, developing an e-methanol facility in Texas, has selected John Cockerill and Johnson Matthey as strategic partners, it announced Friday in a press release. John Cockerill will provide 210 MW of its electrolyser units for the green hydrogen facility to be built, while Johnson Matthey will supply its e-methanol technology. The facility will produce e-methanol for the shipping or chemical industries from combining green hydrogen with CO2. By 2029, ETFuels aims to produce 120,000-tonnes of e-methanol from the facility, using co-located 500 MW of renewable energy and sourcing of biogenic CO2. It declined to tell Carbon Pulse from where the biogenic CO2 would be sourced, though its website says it also has a partnership to secure CO2 from cement maker Cemex.
AND FINALLY…
Sails up – An enormous ore carrier is now the largest vessel to sail by wind propulsion, in another small step towards cutting the shipping industry’s emissions as well as fuel bills, Bloomberg reported. The Sohar Max, with a capacity of 400,000 deadweight tonnes, was recently fitted with five 35-metre-high rotor sails. The sails are expected to cut the vessel’s carbon emissions by up to 3,000 tonnes a year, and fuel consumption by 6%. Rotor sails are still relatively rare for vessels, and their success will depend on whether they can save money for shippers — something that could receive a boost from regulation away from fossil fuels. Commodities giant Cargill is also looking to add wind power capability to its cargo ships, after chartering the 80,000-tonne Pyxis Ocean bulk carrier fitted with two WindWings made from steel and composite glass, Bloomberg reported in March.
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