Carbon Brief [Sept. 6. 2023]
Global Climate Finance: From Carbon Market Shifts to Pioneering Energy Pacts
European Carbon Dips Amid Selling ⬇️🇪🇺
Despite a two-day pause in EUA auctions, European carbon prices declined Tuesday due to persistent selling and inconsistent demand. Meanwhile, the UK trims its upcoming auction volumes for the year.
NZ Carbon Auction Stumbles Again ❌🇳🇿🌿
For the third consecutive quarter, New Zealand's carbon auction fell short on Wednesday, unable to surpass the government's undisclosed minimum price.
RGGI Auction: High Expectations, Uncertain Discounts 📈❓💹
Traders anticipate a robust September RGGI auction outcome, potentially nearing record highs. However, the gap between auction and secondary market prices remains a topic of debate.
Petrobras Backs Amazon Preservation 🌳🛢️🇧🇷
Brazil's leading oil company, Petrobras, takes a leap into the voluntary carbon market by purchasing its inaugural carbon credits. This move, equivalent to conserving an area the size of 800 soccer fields in the Amazon rainforest, signifies a $120M commitment in Brazil's growing carbon market. The purchased credits account for 175,000 tons of averted carbon emissions.
Google's Green Irish Venture 💸🌍
Tech titan Google secures its first long-term 58 MW renewable energy agreement in Ireland with Power Capital Renewable Energy. This aligns with Alphabet's 2030 carbon-free goal. Recent ventures include partnerships with Apex Clean Energy and Ørsted, and a collaboration with LevelTen Energy to streamline the PPA negotiation process.
DOE's $500M Carbon Capture Push 💰🌬️
The Department of Energy signals a major infrastructure investment from the Bipartisan Infrastructure Law, targeting new carbon transport facilities, with announcements expected by year-end.
UAE Boosts African Carbon Efforts 🌍🇦🇪💸
In a move solidifying international climate collaboration, the United Arab Emirates Carbon Alliance pledges a substantial $450 million to acquire carbon credits from Africa's Carbon Markets Initiative (ACMI) by the end of this decade. This commitment, inked during the inaugural Africa Climate Summit, underscores the alliance between Sheikha Shamma bint Sultan of the UAE Independent Climate Change Accelerators and ACMI.
CO2 Offsets Market Faces Turbulence 🌪️📊📉
Morgan Stanley has sounded the alarm on the carbon offsets landscape, identifying an imminent "material tipping point." The voluntary carbon market has been marred by controversies, causing erratic price fluctuations and even plummeting values. These developments raise concerns, not just for traders handling these credits but also for corporations leveraging them to bolster their green reputations with consumers and regulatory bodies.
