Unsettled market hinders carbon trader

Problems in the carbon markets have again hurt Trading Emissions, the Aim-listed specialist that is one of a dwindling band of pure-play carbon trading companies. The company is divesting itself of chunks of its portfolio of carbon credits as the markets price in the risk that current forms of carbon trading may not be available beyond the next 18 months….

US carbon emissions trading in doubt

The future of carbon emissions trading in the US is in doubt because of the lack of cap-and-trade legislation, Jeff Sprecher, chief executive of Intercontinental Exchange , said on Wednesday. The US has a voluntary nationwide cap-and-trade market organised by the Chicago Climate Exchange (CCX). Its parent, UK-listed Climate Exchange (CLE), was bought by ICE last month for £395m ($627m)….

European groups spend £800m on carbon credits

European energy and industrial companies have become the most important buyers of carbon credits from the developing world, spending an estimated £800m on the credits last year. Most of the credits were from projects to destroy industrial gases, a controversial area as the United Nations has come under increasing pressure to change the way these credits are awarded. The biggest…

Barclays raises carbon trading presence

Barclays on Wednesday stepped up its involvement in the carbon trading business with a £98m ($142m) purchase of Tricorona, a Swedish company that runs carbon offsetting projects in developing markets. The bank offered to pay SKr8 (70p) in cash for each Tricorona share. This represented a 40 per cent premium over the company’s closing share price of SKr5.70 in Stockholm…

Carbon trading sector still buoyant

The market in greenhouse gas emissions showed surprising growth last year, despite the financial crisis and depressed prices. The carbon market was worth $144bn, up 6 per cent on 2008, according to the World Bank’s annual report on the trade. Although the growth was anaemic compared with the rapid expansion in the fledgling market seen before the financial crisis and…

Carbon permit trading buoyed by threat of supply constraints

Carbon permits have been trading at a near seven-month high, strengthened by rising power prices and rumblings that the European Commission may move to tighten supply. Permit prices wobbled slightly on Tuesday, however, giving up some of the gains they had made over the past few days as Germany auctioned some of its stock. But they remain at a higher…

European carbon trading survives key tests

A funny thing has happened to carbon dioxide prices in the past few days: they have failed to collapse. Hours before most traders departed for their Easter break last week, the European Commission issued data showing the carbon market, under the European Union’s emissions trading scheme (EUETS) was oversupplied. Owing to the recession, Europe’s heavy industries used far less energy…

Carbon trading’s riders hold on to the handlebars

The market for carbon trading, never popular in some circles to begin with, is starting to look rather shaky. The bungled Copenhagen summit was bad enough. Now we have the UK energy regulator suggesting the market is not working and that a floor price for carbon should be imposed. Bulls of the market are unmoved. These are temporary local difficulties,…