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
BRIEFING: ‘Huge uncertainty’ in US carbon markets if Trump elected, as integrity bodies plough on with guidelines
There is “huge uncertainty” around what would happen to US carbon markets regulations if the openly-climate sceptic Donald Trump is re-elected in November, according to the co-chair of the Integrity Council for the Voluntary Carbon Market (ICVCM).
CARBON FORWARD EXPO LONDON 2024
CFEL24: EU industry may never recover from two-year slump -analysts
There is a real chance that EU industry never recovers from its current output slump, in what could be a major drag on the European carbon price over the next decade, analysts told Carbon Forward Expo London 2024 last week.
AMERICAS
WCI Markets: CCA trade spikes after ARB confirms aspects of upcoming ETS rulemaking
California Carbon Allowances (CCA) futures trade surged on ICE after regulator ARB released a notice Tuesday confirming aspects of upcoming changes to the cap-and-trade programme.
US EPA reports 2023 emissions from stationary sources down 4% YoY
The US Environmental Protection Agency (EPA) released 2023 greenhouse gas (GHG) data Tuesday showing that direct emissions from large stationary sources were down 4% year-on-year (YoY).
RGGI Market: RGAs briefly reverse slide in thin trade
RGGI Allowance (RGA) prices in the secondary market briefly caught a headwind over the past week to reverse a sell-off since the market administrator released programme updates.
Hawaii Supreme Court ruling shields insurer from paying out climate damages
A major US insurance company notched a win in a Hawaii Supreme Court ruling that found a policy issued to an oil and gas company does not cover damages from greenhouse gas (GHG) emissions.
Oregon approves state forest for carbon crediting programme
The US state’s land board unanimously adopted on Tuesday a proposed management plan for a local forest to earn revenues through the sale of carbon credits.
Google signs first corporate PPA to buy nuclear power from small modular reactors
Google has become the first company to sign a corporate power purchase agreement (PPA) to buy nuclear power from small modular reactors (SMRs), the company said on Monday.
New Citibank-backed clean energy marketplace to launch in Q1 2025
A US energy software and service company is launching a digital marketplace in which energy traders and investors can exchange clean energy commodities with improved transparency measures, according to a Tuesday announcement.
Quebec emissions decline YoY in 2023, but exceed annual cap for sixth straight year
Quebec greenhouse gas (GHG) emissions in 2023 dropped year-on-year (YoY), but still surpassed the province’s ETS cap for the sixth consecutive year, according to government data released Friday.
Canadian carbon credit financier acquires 50% stake in US-based CO2 sequestration project
A Vancouver-headquartered project developer has signed a deal to acquire a 50% equity stake in a US-based carbon sequestration project.
Argentine J-REDD programme could issue around 10 mln credits in Q4
A large-scale provincial Argentine jurisdictional REDD (J-REDD) initiative is expected to issue around 10 million credits as early as this year, though some legal and socioeconomic questions remain.
ASIA PACIFIC
Scientist examining HIR ACCU project compliance refutes damning study findings
A scientist tasked with scrutinising Australian human-induced regeneration (HIR) projects on behalf of the Clean Energy Regulator has hit back against accusations about his practices and findings that the projects are over-credited.
China continues to back coal power overseas despite commitment, report says
China is still supporting the expansion of coal power overseas, with captive units remaining a loophole in the country’s overseas coal ban, a report has found.
Japan to add J-Credit methodology for N2O reduction in sewage treatment
Japan is planning to add a new carbon offset methodology for sewage treatment projects that introduce N2O decomposition equipment to its national J-Credit programme.
New Zealand broker to launch new trading platform
A New Zealand-based brokerage announced Tuesday it will launch a new version of its carbon trading platform next week.
EMEA
Germany awards first ‘climate contracts’ to support industry with transition
Fifteen firms in Germany have been awarded support guarantees in the first round of the country’s novel climate contracts for difference (CCfD) scheme, established to help industrials with the transition towards net-zero goals, with payouts linked to EU ETS prices.
INTERVIEW: EU regulation on reducing agriculture emissions could erode case for carbon finance
Setting EU regulation to reduce emissions in agriculture too soon could erode the incentive for farmers to participate in private markets such as those involving carbon finance, according to a Danish agtech company.
UK proposes capacity market changes to accommodate more renewables
The UK is seeking views on potential changes to its capacity markets scheme aimed at keeping flexible power capacity online while strengthening the security of supply and helping to push out unabated gas-fired power, the government announced on Tuesday.
UK energy-from-waste incinerators almost as emissions-intensive as coal-fired power, finds analysis
Burning household rubbish in giant incinerators is now the dirtiest way the UK generates electricity after the closure of the last coal-fired power plant in the country, analysis published Tuesday has found.
INTERVIEW: CBAM cannot shield us from Russia, EU fertiliser industry warns
Fertiliser production in Europe is struggling to compete on global markets due to the continent’s dependence on gas imports, the EU’s trade association has said, while warning against Russia’s attempt to systematically undercut the bloc’s producers to “kill the European fertiliser industry and create a dependency for our farmers”.
Euro Markets: EUAs resume close link to natural gas as energy weakens on easing Middle East tensions
European carbon prices continued to strengthen their correlation to natural gas on Tuesday, fluctuating in line with the TTF after the two markets had disconnected early in the month, as they followed the energy complex lower amid easing geopolitical tensions in the Middle East.
INTERNATIONAL
CCS capacity ramping up, NDCs may drive further growth, says report
There are now 50 carbon capture and storage (CCS) facilities operating across the world and another 628 in various stages of development, according to a report released Tuesday, with the inclusion of the technology in national UN climate strategies likely to drive further expansion.
Clean energy growth moving faster in developing countries than rich nations, finds report
Global South countries are expanding renewable energy at a faster rate than wealthy nations, but an investment gap still threatens clean energy goals agreed at COP28, according to research published Tuesday.
VOLUNTARY
Verra launches additionality tools to align with ICVCM CCP requirements
Verra has released two new tools to assess the additionality of project activities, replacing and updating CDM versions, in a move that will further align the standard body with the ICVCM’s Core Carbon Principle stamp of high integrity approval.
French biotech startup raises €3.3 mln to produce carbon-negative rubber
A French biotech startup has raised €3.3 million in pre-seed funding to accelerate the development of its carbon-negative natural rubber.
Conservation group to launch US nature-based carbon credit auction in 2025
A national conservation group announced on Tuesday plans to hold its first auction for nature-based carbon credits in February 2025 – the first of its kind in the US, according to their statement.
Finnish waste management company produces first biodegradable plastic from CO2 emissions
A Finnish waste management and circular solutions company has become the world’s first to produce biodegradable plastic from CO2 emissions using carbon capture and utilisation (CCU), the firm announced on Tuesday.
BIODIVERSITY (FREE TO READ)
Developer hands biodiversity crediting scheme to independent administrator
Australia’s GreenCollar will hand its NaturePlus biodiversity crediting scheme to Accounting for Nature, in early 2025, for independent administration in a bid to enhance credibility and lay the foundations for market growth.
Non-profit considering global portfolio of biodiversity credit pilots
Fauna & Flora is considering supporting biodiversity credit initiatives in countries across the world, following an ongoing 500-hectare pilot in South Africa, Carbon Pulse has learned.
Logging in Australian state kills or displaces 300,000 animals a year, report estimates
Over 300,000 animals are killed or displaced annually in Tasmania, Australia due to logging-related activities, a paper published this week estimated.
EU needs policy for “nature-inclusive” solar, TNC says
The European Union should develop policies in support of “nature-inclusive” solar parks with biodiversity net gain, urged a report commissioned by The Nature Conservancy (TNC) that was published on Tuesday.
Financial supervisors are neglecting nature, WWF says
The financial regulatory sector must act swiftly to address the rapid decline of nature, by taking actions including mandating targets, WWF said in a report.
Biodiversity market held back by lack of financial materiality, policy impetus -analysts
Investing in biodiversity is being held back by a lack of financial materiality and policy impetus, though steps forward on an international carbon market could unlock funding for biodiversity, said analysts at a sustainability ratings agency.
Biodiversity Pulse: Tuesday October 15, 2024
A twice-weekly summary of our biodiversity news plus bite-sized updates from around the world. All articles in this edition are free to read (no subscription required).
—————————————————
EVENTS
Supercritical Webinar – Defining Biochar Quality Nov. 5, 0900 EST (1400 GMT) – Essential insights for an impact-driven carbon removal strategy. Join Supercritical and panelists from Puro.earth, Isometric, and Exomad Green for this expert-led webinar. In the rapidly evolving landscape of carbon removal, biochar stands out as a method with immense potential. But not all biochar is created equal, and the lack of standardisation makes understanding quality critical for companies committed to having real climate impact. In this webinar, you’ll learn from industry leaders about the characteristics that set superior biochar apart, the tools and methodologies for quality assessment, and emerging trends shaping the future of biochar. Register
Calyx Webinar – How to buy high-quality carbon credits – Nov. 6, 1100 EST (1600 GMT): Buying quality carbon credits in today’s carbon market can feel like an obstacle course full of hurdles and roadblocks, but despite challenges, many sustainability leaders have done this successfully. We gathered experienced carbon market participants from across industries to share their processes, advice and secrets to success. If you’re purchasing carbon credits in the next six months, this is a discussion you won’t want to miss. Register here. If you register but cannot attend live, you will receive an on-demand recording after the webinar.
cCarbon’s Canada Clean Fuels and Carbon Markets Summit 2024 – Nov. 7, Toronto: Canada’s clean fuels and carbon markets face significant uncertainty as policy, regulatory, and market dynamics evolve. To provide clarity, cCarbon is hosting modeling-driven Canada Clean Fuels and Carbon Markets Summit in Toronto for businesses and investors navigating this landscape. The event will begin with a plenary session focused on policy, followed by two specialized tracks exploring clean fuels and carbon markets in depth. With over 40 experts sharing insights and nearly 200 business leaders and regulators in attendance, this summit offers an exceptional networking and learning opportunity for anyone interested in Canadian energy and environmental markets! Find out more
—————————————————
Premium job listings
- AFOLU Project Development Specialist (f/m/d), KAYA Climate Solutions GmbH – Berlin/Luanda
- Carbon NBS Specialist/Manager, NatureCo – Australia/Asia Pacific/Worldwide
- Business Development, Carbon Markets (Market Intelligence), RepuTex Energy – Melbourne
See all listings or post a job
—————————————————
BITE-SIZED UPDATES FROM AROUND THE WORLD
EMEA
Requesting a re-do – European and British energy companies have called for a radical overhaul of post-Brexit energy trading arrangements between the EU and the UK, proposing the creation of a “green energy hub” in the North Sea. In an open letter to EU and UK energy ministers, 20 leading green energy firms warned that the current trading mechanisms under the EU-UK Trade and Cooperation Agreement (TCA) are inefficient, hindering investment and putting green energy targets at risk. The letter emphasised that trading provisions in the TCA, specifically the never-implemented multi-region loose volume coupling (MRLVC) pricing mechanism, create uncertainty. This has delayed offshore wind investment in the North Sea, a key resource for renewable energy for both regions. Industry leaders from the UK’s National Grid, WindEurope, and Energy UK are calling for improved cooperation between the EU and UK, without reopening the TCA, to realise the potential of the North Sea as a major renewable energy source. The North Sea is seen as crucial for meeting the UK’s and EU’s renewable energy goals, with both sides already committed to significantly expanding offshore wind capacity. (FT)
Nuclear future – A statement from the EU Nuclear Alliance – comprising Bulgaria, Croatia, Czechia, Finland, France, Netherlands, Romania, Slovakia, Slovenia, and Sweden – urged the upcoming 2024-29 European Commission’s mandate to ensure the competitiveness and resilience of the bloc’s economies by prioritising nuclear expansion as part of 2050 climate goals. “We, the Ministers and high-level representatives of the Nuclear Alliance, underline our support to Mario Draghi’s call to pursue Europe’s decarbonisation by leveraging all solutions in a technology-neutral approach,” a statement published Tuesday read, after the Alliance met on the sidelines of the Energy Council in Luxembourg. Draghi’s report, published last month, included nuclear as a key part of the bloc’s future energy system. The Alliance called for the Commission to help develop access to private and public financing, and explore the possibilities and benefits of European financing instruments, in order to support large-scale reactors, SMR technologies, and the associated European value chain. It also wanted greater focus on skills for the sector, and that Brussels respects the national energy choices of member states.
Green monsters – Giving fossil gas and nuclear power a green label in the EU’s sustainable investments rulebook will hurt efforts to tackle the climate crisis, according to a new report by Greenpeace Germany. The report argued that, as fossil gas is a significant source of GHG emissions – from its extraction, transport, storage, and use – it accelerates the climate emergency, and should not be labelled as sustainable. Nuclear energy also takes too long to become operational, Greenpeace said, diverting funds away from renewables that can be quickly deployed.
Clean industry platform – The new INCITE information platform has been launched Tuesday by the European Commission’s Joint Research Centre (JRC), creating a single public space for both submitting and consulting data and information on innovative clean, zero-carbon, and circular technologies that will be implemented by large industrial plants and livestock rearing installations during the industrial transition. The platform aims to provide an overview of the environmental benefits and performance, technology maturity, possible trade-offs, location, and costs benefit elements of these technologies, and to foster dialogue and cooperation across industry. Users will be able to submit information through an online questionnaire, which can be consulted using interactive lists, tables, or maps. Illustrative technologies could include carbon capture and storage in the cement and lime sectors and reducing CO2 with hybrid furnaces in the glass industry.
Windfall – The Grangemouth oil refinery in Scotland, owned by Petroineos (a joint venture between Ineos and Petrochina), is set to close next year, costing 400 jobs. However, Petroineos could benefit from a £6 mln windfall by selling unused emissions allowances granted for free under the UK ETS, according to The Ferret and the Democracy for Sale newsletter. It’s understood that the refinery will receive a full year’s worth of free UKAs in 2025, or around 180,000 permits, despite the closure expected between April and June, allowing the company to monetise the surplus. Critics, including Scottish Greens MSP Gillian Mackay, condemned the situation, calling it “sickening” that Petroineos could profit while workers lose their jobs. Labour MSP Richard Leonard also criticised Ineos for a history of benefiting at the expense of workers and urged the government to close the loophole. Ineos said it had “fully complied with the rules and reporting requirements” of the UK ETS. Last year, an investigation by the FT found that Ineos was allocated 148,000 UKAs for a chemicals plant in the north east of England that it had already started to decommission. The UK government is considering reforms to prevent such windfalls but has yet to confirm any changes.
Italian renewables – Intesa Sanpaolo has announced €32.6 mln of financing to support the development of projects by GreenGo, Bologna-based operator of large-scale renewable energy plants. The initiative is part of the banking group’s €8 bln fund set aside for the circular economy transition, furthering its commitment to support investments related to the National Recovery and Resilience Plan. The scheme has been compared to the UK’s newly launched GB Energy, as it uses EU funding available to Italy combined with private capital to invest in renewables. The investment will allow GreenGo to build eight solar PV plants exceeding 40 MW, contributing to its plan to expand its capacity of solar, wind, and storage plants by more than 350 MW by 2026.
Ukraine’s CBAM costs – Ukrainian exporters to the EU will sustain considerable costs from the Carbon Border Adjustment Mechanism, and the European Green Deal overall, according to a study by Ukrainian think tank GMK Center, reported by the Russian newswire Interfax. Ukraine stands to lose $202 mln worth of exports in the first year after the CBAM fee kicks in from 2026, and $1.4 bln per year by 2030, GMK found. This could stop Ukraine from exporting products such as cement, fertilisers, cast iron, square billets, and rolled steel after 2030, it said. More than half of Ukraine’s exports go to the EU, and 15-17% could be subject to CBAM.
Halted – The Democratic Republic of Congo (DRC) has cancelled a licensing round for 27 oil blocks, initially launched in 2022 to expand its oil and gas industry, according to a statement on the hydrocarbons ministry’s X account on Monday. The ministry cited delays, irregular offers, and a lack of competition as reasons for the decision, with hydrocarbons minister Aime Sakombi Molendo noting that the process would be relaunched without specifying a timeline. The licensing round, which included three gas blocks, had faced criticism from environmental groups concerned about potential deforestation in the Congo Basin rainforest, while Congo defended the move as essential for economic development.
Green hydrogen blocker – The Namibia government is shifting focus away from green hydrogen and onto plans to build a second hydro-power dam on the Kunene River and bring the offshore Kudu gas resource into production for fuelling two new gas-fired power plants. Implementation of green hydrogen projects has been slow, with only three of the 14 projects approved thus far having completed their pilot-phase construction. The worldwide shortage of electrolyser units is a key blocker to projects moving forward. Only the HyIron green steel project 30 km south of Namib mining town Arandis, looks set to meet its end-2024 deadline of going into production, while most projects are only in the conceptual phase. For green hydrogen to succeed in Namibia, billions more in public funding will have to be invested in both individual projects and critical infrastructure, such as more desalination plants and gas pipeline networks. (Mail & Guardian)
ASIA PACIFIC
Electrifying – The Australian Renewable Energy Agency (ARENA) announced it is electrifying 500 households in New South Wales to provide insights on how the country could benefit from an electrified future. ARENA will provide A$5.4 mln ($3.6 mln) and will work with project partners Brighte , Rewiring Australia, and Endeavour Energy. Participating homes will have efficient electric appliances installed, as well as heat pump space and water heaters, home batteries, and rooftop solar installed that will be optimised by a home management system. ARENA CEO Darren Miller said this project would provide significant insight into the contribution of home electrification to grid stability while also reducing energy costs for consumers.
CO2CRC cashed up – An Australian low emissions association that grew out of coal advocacy is offering a carbon capture and storage (CCS) project just under A$5 million ($3.35 mln) to advance research into ways to remove future sources of industrial emissions. Low Emissions Technology Australia (LETA) will offer the CO2CRC the cash to explore removing carbon emissions from electricity generation, steel and cement manufacturing, mining processes and other future energy sources, such as hydrogen. “The Enhancing Carbon Storage Opportunities (ECSO) project will assess, mature, and validate a low-cost seismic approach that can measure the performance of CO2 storage operations, which will greatly assist in gaining regulatory acceptance and provide a powerful tool to inform more efficient storage operations,” it said, underlining the importance it places on CCS. The CO2CRC started life as a Comprehensive Research Council, which are public-private-academic partnerships that run a specific period of time to research a topic, but proved so popular it continued on. The project will deeply enhance geophysical monitoring and generate a regional fairway mapping tool for Australia’s eastern onshore basins. The project will identify more CO2 storage capacity, bringing storage reservoirs closer to future CO2 capture technologies such as Direct Air Capture (DAC) and Bioenergy combined with CCS (BECCS), it said.
Design work – A contract has been signed between government body Japan Organization for Metals and Energy Security (JOGMEC) and three companies to conduct engineering design work for a carbon capture and storage (CCS) project in the Tomakomai area, Japanese oil company Idemitsu Kosan announced Tuesday. Idemitsu will work with JAPEX and Hokkaido Electric Power will carry out basic engineering design for a CCS value chain and assessment of CO2 storage potential at the planned CO2 storage site. They aim to launch the government-backed CCS project by FY2030.
Net zero Darlington – Darlington Council in northeast England has approved the purchase of carbon credits to offset the authority’s emissions and to reach net zero by 2040. The council’s agreed trajectory requires a 40% reduction in carbon emissions every five years, equating to approximately 1,000 tonnes of carbon by 2040 that will need to be offset, the report said. Carbon offsetting measures so far include planting over 20,000 trees, while emissions reductions are being priorities though investments in electric vehicles, LED street lighting, and trialing biofuel in the refuse fleet. The credits to be purchased for offsetting will start from £10 per tonne of CO2 emissions as a minimum.
AMERICAS
GE’s new tech to reduce CCS costs – GE Vernova, the company formerly known as GE Power, announced today that US Department of Energy tests of its exhaust gas recirculation system can reduce the cost of a carbon capture facility by more than 6%. The EGR system, which was studied at a Southern Company power plant in Alabama, uses a technology that reintroduces part of the gas turbine’s exhaust back into the turbine’s inlet. This helps reduce the size and cost of the turbine’s carbon capture system by halving the number of absorber towers and improving efficiency, a press release said.
Bussee runs for governor – The father of two successful environmental activists is running for governor in Montana, and is making environmental rights a key plank of his campaign, E&E News reported today. Ryan Busse, a former firearms executive, originally announced his run for governor last year against incumbent Greg Gianforte, a Republican. As a member of the Democratic Party, Busse is positioning himself as a centrist candidate with proposals to cut property taxes and raise wealth taxes. In 2020, Busse’s two young sons joined a coalition that successfully sued state agencies over their failure to ensure a clean and healthy environment.
Tax refunds – Washington farmers and truckers have only claimed 6.5% of $28.5 mln earmarked to refund them on cap-and-trade taxes that they paid in 2023, the Capital Press reported on Tuesday. The partial refund programme is runn by the state’s Licensing Department.
Try again – The government of Para state in the Brazilian Amazon will “begin a new phase of dialogue” with Indigenous peoples and traditional communities regarding a jurisdictional REDD+ (J-REDD) offtake struck via the LEAF Coalition last month (Reuters). This dialogue follows the release of a letter last week signed by 38 local leaders, which stated that they were not consulted on the deal. “The transaction with the LEAF Coalition will be finalised in 2025, after the conclusion of this collective construction process,” Para’s government has now said in a statement. At Climate Week NYC in September, Para Governor Helder Barbalho had emphasised the importance of including local communities in J-REDD decisions, stating that Para’s programme spent two years on research, dialogue, and scientific studies to craft its programme. Under the LEAF agreement, Para will sell 12 mln units certified by the ART TREES standard for emissions reductions achieved from 2023-26. Buyers will purchase the units at $15/t upon issuance, with the first batch anticipated in Q4 2025.
VOLUNTARY
Getting CCP-certified – Gold Standard has opened a public consultation on a new document outlining the procedure for updating methodologies for Core Carbon Principles (CCPs) labelling of Gold Standard Verified Emission Reductions (VERs) within the Integrity Council for the Voluntary Carbon Market (ICVCM) framework. It’s open from today and closes Nov. 13, 2024. The document lays out the requirements and guidelines for developers to ensure compliance with the latest ICVCM-approved methodologies and Gold Standard requirements. This is an optional requirement for project developers seeking CCP labelling of VERs.
Rising high – Gold Standard has developed a new methodology focused on the installation and retrofitting of energy storage systems (ESS) in elevators, enabling the capture and dispatch of regenerative energy. This approach applies to both new and existing elevators and outlines the baseline emissions from traditional elevator systems without ESS, while project emissions account for the energy consumed minus the regenerative energy stored and utilized. Feedback is welcome before Nov. 13, 2024.
Platform partnership – Chicago-headquartered financial data and trading platform Laconic Infrastructure Partners and Brazil’s Espirito Santo have entered an MoU to explore how Laconic’s SADAR platform can facilitate the development of a digital natural capital monetisation tool to support the state’s SDG efforts. Espirito Santo’s Capixaba Carbon Program and Nature-Based Solutions aim to encourage projects that reduce, remove, and capture GHGs along with the creation of financial incentives and support mechanisms, and the partners said in a Tuesday press release that Laconic’s technology has the potential to help by aggregating and disaggregating environmentally linked data, creating financial instruments linked to that data, and ensuring that all programme stakeholders receive direct and indirect financial benefits.
Travel offsets – CarbonClick has partnered with Protect Group to integrate carbon offsetting into the Protect Marketplace, allowing travellers to offset their travel during the booking process with carbon credits, according to a LinkedIn announcement. The aim is to enable more travelers and businesses make climate-positive action.
AND FINALLY…
Saving skating – A new partnership between British Columbia-based carbon capture firm Svante and national sports governing body Speed Skating Canada will seek to highlight the adverse impact of global warming on winter sports and encourage Canadians to take action against climate change to help ensure the long-term viability of outdoor speed skating across the country, according to a Tuesday press release. More specifically, the two will collaborate on a digital marketing campaign to shed light on the “existential threat” climate change presents to outdoor speed skating and emphasise the urgency for action. Additionally, as part of the collaboration, Svante will give back to the speed skating community through support for the revitalisation of Speed Skating Canada’s Hall of Fame display at the Olympic Oval in Calgary.
Got a tip? How about some feedback? Email us at news@carbon-pulse.com
