Presenting CP Daily, Carbon Pulse’s free newsletter. It’s a daily summary of our news plus bite-sized updates from around the world. Subscribe here
TOP STORY
FEATURE: ‘Panic’ as EU’s new green product reporting rules come into effect
Manufacturers across the globe are bracing for new ecodesign reporting obligations in Europe, with full disclosure of the carbon content and wider environmental footprint of products soon becoming obligatory for any company placing goods on the EU market.
EMEA
BRIEFING: All the new climate initiatives to expect from the European Commission’s next five-year term
The new European Commission has a wide range of climate initiatives in store for the next five years – as President Ursula von der Leyen keeps climate change at the heart of her second mandate while shifting the focus to implementation and industrial policy, according to the mission letters she sent to her team of commissioners-designate.
EU ETS found to have “no significant issues” in market watchdog’s first annual report
Europe’s markets authority said it had not found any “significant issues” in the functioning of the EU ETS during 2023 and did not make any recommendations for additional regulation, in its first annual report on the market published on Monday.
EU nations urged to allocate ETS revenues towards climate goals
The European Union should invest earnings from the carbon market more efficiently towards climate goals, according to a collective call.
Euro Markets: EUAs erase early plunge to six-month low in heavy trading as gas rebounds on geopolitics
European carbon prices dropped sharply from the opening on Monday, reaching a new six-month low early in the afternoon just above a key psychological and technical level before clawing back all their early decline, in the busiest day the ICE exchange has seen since early 2022, after gas prices staged a bounce-back on bullish news reports.
Advisory group urges Brussels to ensure holistic and long-lasting carbon removals in CRCF
The European Commission needs to take a holistic approach to the emissions covered in its industrial carbon management policy, extending its oversight to indirect emissions within company’s assets, as well as the energy used from carbon management technologies, among other areas, according to recommendations from an advisory group.
INTERNATIONAL
BRIEFING: Article 6 needs streamlining and specifics, fewer constraints, says carbon industry
UN negotiators should facilitate private sector involvement in Article 6 through measures designed to streamline deal-making, authorisation, and transaction, but should not over-emphasise central infrastructure or interpret the Paris Agreement to preclude REDD projects, according to a carbon trading industry body.
85% of banks worldwide still open to financing new coal -report
Some 85% of banks are open to financing new coal projects, and only 8% of banks are committed to ending project financing of new oil and gas fields, according to research published on Tuesday.
Article 6 body adopts sustainable development tool
The body mandated to shape the UN’s Article 6.4 carbon crediting mechanism has adopted a sustainable development tool, as it also scrambles to ready guidance ahead of COP29 next month.
BP drops goal to cut oil and gas output, targets new fossil investments -media
BP has reportedly abandoned its goal to cut oil and gas output by a quarter by 2030 and is instead eyeing investments to scale up output, as management resets the company’s energy transition strategy in a bid to regain investor confidence.
VOLUNTARY
VCM Report: Resurfacing fraud charges undermine confidence, thin liquidity continues
The integrity of the voluntary carbon market came under the spotlight again last week after charges of fraud were unsealed by US authorities against Ken Newcombe, the former CEO of project developer CQC Impact Investors LLC (CQC), as well as the company’s ex-COO and a former managing director, Tridip Goswami, among others.
VCM MONTHLY DATA: Shell leads retirees in September as issuances soar to three-year high
Issuances in the voluntary carbon market (VCM) soared to their highest level in September for three years, while oil major Shell was the largest retiree of credits, according to new analysis of registry data from Carbon Pulse.
INTERVIEW: ‘A tonne is not a tonne’ – Changing the approach to voluntary carbon crediting could unlock much-needed scale
In order to scale, the voluntary carbon sector must shift its approach, adopt a more conservative stance to crediting, and move past the “the myth of fungibility”, a senior executive at Amazon told Carbon Pulse.
Carbon offsetting programme publishes new nature-based methodologies, tools
An international carbon credit development programme on Monday published two new methodologies and two methodological tools under its nature-based solutions (NBS) programme.
AMERICAS
RGGI Market: RGAs slip further towards 2025 CCR
RGGI Allowances (RGA) in the secondary market continued their descent over the week as prices adjusted in response to programme updates from the administrator, with traders largely projecting the 2025 Cost Containment Reserve (CCR) value as the near-term level of support.
US EPA’s own data negates power plant rules’ CCS feasibility -intervenor briefs SCOTUS
An intervenor on behalf of one of the US states enjoined in an emergency petition to stay the US Environmental Protection Agency’s (EPA) power plant rules drew the attention of the Supreme Court to analyses from the agency showing carbon capture and storage (CCS) technology limitations.
SCOTUS seeks input from US federal official on merit of fossil fuel lawsuits
The US Supreme Court is asking the Solicitor General to comment on a challenge from Alabama and 18 other conservative states trying to quash Democrat-led states’ lawsuits against oil and gas producers, according to a request made on Monday.
LATAM Roundup: Global industry bets on Brazilian green hydrogen
Heavy industry on both sides of the Atlantic pinned decarbonisation hopes on clean Brazilian electricity, Peru promised voluntary carbon market (VCM) expansion, and Argentina’s VCM progressed in two sectors in the week ending Oct. 6.
ASIA PACIFIC
Taiwan govt committee finalises carbon levy rates, starting at $9/t
An environment ministry committee has finalised rate recommendations for Taiwan’s upcoming carbon levy scheme, with a starting price of NT$300 ($9.32) per tonne of CO2e for regulated emitters on the island.
AU Market: ACCU price retreats after bumper September
The price of Australian Carbon Credit Units (ACCUs) has reversed the gains it made last month which saw a record 4.1 million units traded, according to analysis.
Australian energy firm partners with Japanese government agency to manage methane emissions
An Australia-headquartered energy firm has teamed up with a Japanese government affiliate to collaborate on improving methane emissions management with new technology.
Indian state partners with country’s biggest development bank to implement carbon credit framework
An India state has partnered with the biggest development bank in the country to generate additional carbon credit revenue for smallholder farmers by reducing GHG emissions, the state government has announced.
AVIATION
New one-stop solution created for airlines to buy CORSIA, voluntary carbon credits
Two companies have teamed up to offer airlines a one-stop solution for climate action via a portfolio of voluntary credits that includes those eligible for the UN’s international aviation offsetting scheme.
BIODIVERSITY (FREE TO READ)
PREVIEW: COP16 ‘temperature check’ for world’s pledges on nature
Delegates from nearly 200 countries will gather in Colombia at the end of this month for the COP16 biodiversity summit, in what observers call “a temperature check” for the world’s pledges on nature, amid political divisions on finance mobilisation threatening to hamper the implementation of the landmark Global Biodiversity Framework (GBF).
Australia expands ocean protection as first Global Nature Positive Summit kicks off
The Australian government has expanded its protected waters, claiming it now protects more waters than any other nation on earth, it said as host of the first Global Nature Positive Summit in Sydney.
Australia has done nothing to reverse nature-harming govt subsidies, report finds
Australia spends around 50 times more on subsidising activities that harm the environment than it spends on helping it, according to a first-of-its kind report examining government payments published Monday.
INTERVIEW: African pilots plan to generate biodiversity credits across 300,000 ha
An initiative to generate biodiversity credits across more than 300,000 hectares in Uganda and Zambia has been speaking with authorities about creating enabling policy, Carbon Pulse has learned.
BNG metric fails to capture invertebrate biodiversity, study says
The metric used for implementing England’s biodiversity net gain (BNG) policy does not accurately capture invertebrate biodiversity abundance, a pre-print paper has suggested.
Nature Positive Initiative launches nine draft indicators
The influential Nature Positive Initiative (NPI) has launched a first set of nine draft nature indicators, with the aim of building consensus on measuring progress towards nature positive.
—————————————————
EVENTS
Carbon Forward Expo – October 8-10, London and Online: Our flagship conference returns to the stunning De Vere Grand Connaught Rooms in Covent Garden. As the agenda comes together for our ninth annual event, we want to make sure you don’t miss out on our 10% discount offer, which is available throughout August. We’re also offering free passes for offset buyers. Get in touch to find out if you’re eligible and how to apply. Register now!
Chile Carbon Forum – October 8-10, Santiago: The forum will bring together experts, business leaders, and government officials to discuss challenges and opportunities within the carbon market. It will cover topics such as carbon taxes, offsetting mechanisms, climate finance, carbon market regulations, international cooperation, nature-based solutions, and innovative emission reduction strategies. The agenda includes panel discussions, workshops, and keynote speeches that emphasize the importance of these topics in promoting a low-carbon economy and combating climate change. This forum is crucial for understanding and advancing collaborative approaches to sustainability. For more information, visit Chile Carbon Forum.
—————————————————
Job listings this week
- *Carbon NBS Specialist/Manager, NatureCo – Australia/Asia Pacific/Worldwide
- Carbon Project Developer, Climate Forest – Europe
- Forest Carbon Analyst, Manulife Investment Management Timberland and Agriculture – Charlotte, NC/Vancouver, WA
*Premium listings
See all listings or post a job
—————————————————
BITE-SIZED UPDATES FROM AROUND THE WORLD
EMEA
Norwegian CBAM – Norway will introduce the EU’s Carbon Border Adjustment Mechanism (CBAM), Finance Minister Trygve Slagsvold Vedum said Monday. However, the exact timing will depend on clarifications between the European Free Trade Association (EFTA) countries, Montel News reported. Vedum had previously said that Norway is not legally obliged to implement CBAM, but the government has faced pressure from industry, trade, and employer unions for its implementation, given that the EU’s CBAM would otherwise place a fee on carbon emitted on carbon-intensive goods entering the bloc.
Romanian biofuels – The EU Commission approved today a €500 mln state aid scheme to support investments in biofuel production capacity in Romania. Under the scheme, which the country intends to finance through the EU Modernisation Fund, the aid will take form of direct grants. The measure will support new production capacities of targeted advanced biofuels, namely bioethanol, sustainable aviation fuel, and hydrotreated vegetable oil. By supporting advanced biofuels, the measure will bring significant reductions in GHG emissions, while limiting the impact on agriculture compared to conventional biofuels produced from food crops.
Green hydrogen funding – Winners of the first EU-wide renewable hydrogen auction have signed grant agreements, paving the way for new European production, the European Commission announced Monday. Six of the seven European projects selected for EU financial support in the Innovation Fund’s pilot hydrogen auction (IF23 Auction) in April have signed their respective grant agreements. The awarded funding will help successful bidders to bridge the difference between their production costs and the price that industrial users are willing to pay for this emerging product. The selected projects are located in Spain, Portugal, Finland, and Norway, and will receive a fixed premium payment per kilogram of certified and verified renewable hydrogen produced from the Innovation Fund, using revenues from the EU ETS. The total amount of support comes to €694.5 mln to be dispersed over 10 years, with individual grants ranging from €8 mln to €245 mln. Altogether, the projects have the potential to produce up to 1.52 million tonnes of renewable hydrogen during the first 10 years of their operations, avoiding more than 10 Mt of CO2 emissions.
A strong match – Equinor has bought a $2.5 bln stake in Danish wind energy giant Orsted, marking one of the biggest endorsements of the battered offshore wind industry in years. The deal gives Equinor a nearly 10% stake in Orsted, making it the second-largest shareholder after the Danish government, a statement said, Bloomberg reported. For the Nordic fossil fuel company, the deal represents a simple way to boost its clean power portfolio, helping it reach its target of 12-16 GW of green power by 2030. For Orsted, the transaction comes at a critical time as it tries to claw its way back to growth faced with high financing costs and supply chain woes that have led it to cancel major US projects and fire top executives.
Floating wind tender – Norway is planning to offer up to 35 bln Norwegian krone ($3.29 bln) in subsidies in the country’s first commercial floating wind power tender, in line with a preliminary plan outlined in June. Norway’s 2025 budget proposal on Monday kept the subsidy offer unchanged from a mid-term agreement reached in June, despite some expectations from industry it could be increased. The current calculations are based on a reference project of around 500 MW in size, the government said. At least 13 consortia and individual bidders have expressed an interest in the tender, which initially focuses on Utsira Nord off the coast of southern Norway near Haugesund, divided into three sites with a combined capacity of up to 2.25 GW.
CCS lobbying – The UK government’s move to award £22 bln in subsidies to carbon capture projects follows a steep increase in fossil fuel lobbying, the Guardian reports. Oil and gas giants such as Equinor, BP, and ExxonMobil attended 24 of 44 external ministerial meetings to discuss CCS in 2023, according to official transparency records. That activity is higher than that recorded in 2020-22, when ministers held about half as many meetings to discuss the technology. Rising engagement by oil and gas companies has sharpened concerns among climate advocates that industry is skewing the UK’s carbon capture strategy to preserve demand for fossil gas.
Gazprom’s decline – Energy giant Gazprom suffered a collapse in its North Sea profits last year as sanctions and the UK windfall tax battered the Russian government-owned business. Gazprom UK saw pre-tax profits fall from €45 mln in 2022 to €4 mln last year, according to accounts filed at Companies House. The company paid €1.7 mln in dividends to its Russian parent via a Dutch subsidiary, down from €41 mln the year prior. The UK accounts, which were filed a day late, were published months after its parent company suffered its first annual loss in more than two decades amid dwindling gas trade with Europe due to the impact of Western sanctions following Russia’s invasion of Ukraine in early 2022. Most of Gazprom’s UK profits were eaten away by the energy profits levy introduced by former Prime Minister Rishi Sunak when he was chancellor, the accounts showed.
ASIA PACIFIC
Contributions – The Australian government announced Monday it will contribute A$9 mln ($6.1 mln) to the Regional Pacific Nationally Determined Contribution Hub. The hub, launched in 2017, is a Pacific-led initiative that provides resources and expertise to Pacific nations to help them articulate and meet their NDCs under the Paris Agreement. The new funding will help kick-start a new phase of the hub, as countries seek to submit new NDCs in 2025, the government said. It has assisted 14 Pacific countries to access climate support, including for investment planning and low-emissions strategy development, and emissions reporting.
On the list – The New Zealand government has unveiled the list of 149 projects it is hoping to accelerate under its controversial fast-track legislation. The list includes 22 new renewable energy projects, totalling 3 GW in capacity, as well as Foresta Group’s biomass-based chemical production facility. It also includes 11 mining projects, including one coal mine project and a deep sea mining project. Sixteen major road projects were also included on the list. The coalition government has argued NZ is in a “infrastructure deficit”, however environment and civil society groups have slammed the bill for its lack of democratic process and potential ecological damage.
In pursuit of J-Credits – Japan’s Kyoto Soken Consulting has teamed up with NTT West to promote sustainable forest management and decarbonisation practices in the Kansai region, it announced Monday. The partnership aims to popularise the creation and purchase of domestically issued J-Credits from forestry projects.
AMERICAS
City council chimes in I-2117 – Tumwater, Washington, outside the state’s capitol city, passed a resolution on Oct. 1 to oppose Washington’s Ballot Initiative No. 2117, which would repeal their cap-and-invest programme. Tumwater city council unanimously voted to oppose the state measure, which could “cause the city to lose access to grants under the Washington Climate Commitment Act,” and other funding toward reducing greenhouse gas emissions, the city’s communications manager, Jason Wettstein, told The Journal of Olympia, Lacey & Tumwater last week. The city has funded EV charging stations and energy efficiency projects through the Climate Commitment Act. North of Seattle, Edmonds’ city council is considering whether or not to support the ballot initiative, and will hold a public hearing on the topic on Tuesday.
Out with the coal – The Tennessee Valley Authority (TVA) has announced the retirement of 86% of its coal fleet, the public power company said in its progress report on CO2 emissions reduction, published Oct. 5. Some of the nearly 12,300 MW from the retiring coal units will be replaced with natural gas capacity, which is “an important backstop” for system reliability, TVA wrote. Natural gas “accelerates the expansion of renewables on the system,” the utility company said, which is operating or building around 4,000 MW of solar power, with plans to have 10,000 MW of solar in the next decade.
To dwell on the well – West Texas residents protested an Environmental Protection Agency meeting on Thursday, asking for further considerations of Occidental Petroleum’s permit applications for a carbon sequestration project, E&E News reported on Monday. Occidental plans to pump 8.5 MtCO2 from the largest direct air capture facility currently planned in the country into three wells more than 4,000 ft below the surface. Critics of CO2 sequestration have pointed to the leak and subsequent injection stop at the Archer-Daniels-Midland site in Illinois, urging caution.
Pressing for targets – The Massachusetts Department of Environmental Protection announced a public meeting on Oct. 29 to address a petition from the nonprofit Conservation Law Foundation to amend or create new regulations on the implementation of the state’s Global Warming Solutions Act. The nonprofit, which has called for the programme to increase its climate ambition, petitioned the state agency in May 2023 to open a rulemaking process that would ensure that Massachusetts meets its 2030 and 2050 emissions targets while working toward climate justice.
VOLUNTARY
Fleet efficiency – Verra has published a revised methodology for vehicle fleet efficiency, applicable to projects that improve the efficiency of vehicle fleets, including transport vehicles and mobile machinery, resulting in reduced GHG emissions from fuel and electricity consumption. The Verified Carbon Standard (VCS) Methodology Revision VMR0004 Improved Efficiency of Fleet Vehicles, v2.0 makes it possible to monitor individual vehicles using telematics systems, which provide continuous tracking of odometer readings, fuel consumption, and operational time. It is also better aligned with net zero transition goals, said the announcement.
Harder, better, faster, stronger – Zero Emissions Platform has presented its last report outlining eight key recommendations for certifying high-quality, permanent carbon removals such as Direct Air Carbon Capture and Storage (DACCS) and Bioenergy with Carbon Capture and Storage (BECCS). These include ensuring project additionality, financial additionality, permanent storage timeframes and liability, and guidance around sustainable biomass usage. The paper aims to provide key recommendations to the European Commission for the Delegated Acts on certification methodologies for DACCS and BECCS as technical discussions unfold under the European Commission’s Carbon Removal and Carbon Farming (CRCF) Regulation.
AND FINALLY…
Good news about O3 – The ozone layer over Earth’s Arctic reached a record high in Mar. 2024 since the 1970s, according to a recent report published in Geophysical Research Letters. The ozone levels have remained above-average through Sept. 2024, as the team of researchers from NASA and the University of Leeds highlighted the report as evidence that anthropogenic-source chlorofluorocarbons (CFCs) are now declining. The team pointed to the 1987 Montreal Protocol as one effective policy which aimed to stop the production and consumption of ozone-depleting substances to heal the ozone holes by 2045 and 2066 over the Arctic and Antarctic respectively. Notably, the researchers also said that the confluence of declining levels of oxygen-depleting substances and rising levels of CO2 helped elevate Arctic ozone to a record level. Nonetheless, ozone recovery is essential to maintaining life on Earth, as protection from space’s UV radiation is essential for plant growth, marine food chains, and human survival. (Phys.org)
Got a tip? How about some feedback? Email us at news@carbon-pulse.com
