Glossary

Offset Pricing Monthly Market Digest – February 2023

Offset Pricing Monthly Market Digest – February 2023

Offset Pricing Monthly Market Digest – February 2023

by Derek Six | March 6, 2023

 

Monthly Market Digest February 2023

Offset Supply Information:

All CCOs issued to date: 244.54 million

CA and General Market Commentary:

  • ARB invalidated 13,040 CCOs issued to the Central Sands Dairy Methane Reduction Project for vintage year 2021.  This is the second time this same project has been investigated and had credits invalidated. Over the entire history of the ARB program, there have been six investigations. Five involved Dairy projects, and one involved ODS. Of the six, one, the Bos Dairy project, was exonerated, and the other five resulted in some or all of the issuances to the project being invalidated. 
  • Issuances of CCOs in February totaled 926,022. The table below continues to track a trend of lower CCO issuances, although YTD this year has modestly exceeded 2022: 

 

ClimeCo is a respected global advisor, transaction facilitator, trader, and developer of environmental commodity market products and related solutions. We specialize in voluntary carbon, regulated carbon, renewable energy credits, plastics credits, and regional criteria pollutant trading programs. Complimenting these programs is a team of professionals skilled in providing sustainability program management solutions and developing and financing of GHG abatement and mitigation systems.

For more information or to discuss how ClimeCo can drive value for your organization, contact us at 484.415.0501, info@climeco.com, or through our website climeco.com. Be sure to follow us on LinkedIn, Facebook, Instagram, and Twitter using our handle, @ClimeCo.

Offset Pricing Monthly Market Digest – February 2022

Offset Pricing Monthly Market Digest – February 2022

Offset Pricing Monthly Market Digest – February 2022

by Derek Six | March 7, 2022


Offset Supply Information:

All CCOs issued to date: 232.81 million

CA and General Market Commentary:

  • Only 481k CCOs were issued by ARB during February. Adding in January issuances, ARB has issued 1.26M CCOs this year, compared to 4.3M for the same two-month period last year, a change of -71%.
  • CCA prices closed up at $29.30 on February 24th after the CA ARB reported the results of the 1st quarterly auction of 2022. Current vintages sold out with a bid-to-cover ratio of 1.82 and a clearing price of $29.15, well above the $27.65 the spot CCAs had been trading at several days before the results were announced.
  • For the first few days of March, the correlation between the CCA market and the US stock market has remained high, with CCA prices falling to $26.15 on Friday, March 4th as markets reflected on geopolitical tensions and inflation.

ClimeCo is a respected global advisor, transaction facilitator, trader, and developer of environmental commodity market products and related services. We specialize in voluntary carbon, regulated carbon, renewable energy credits, plastics credits, and regional criteria pollutant trading programs.  Complimenting these programs is a team of professionals skilled in providing sustainability program management services and developing and financing of GHG abatement and mitigation systems.

For more information or to discuss how ClimeCo can drive value for your organization, contact us at 484.415.0501, info@climeco.com, or through our website climeco.com. Be sure to follow us on LinkedIn, Facebook, Instagram, and Twitter using our handle, @ClimeCo.

Offset Pricing Monthly Market Digest – February 2021

Offset Pricing Monthly Market Digest – February 2021

Offset Pricing Monthly Market Digest – February 2021

Offset Supply Information:

All CCOs issued to date: 218.44 million

Compliance credits awaiting issuance: 15.61 million

CA and General Market Commentary:

On February 24th, the CA ARB released the results of the first 2021 quarterly auction, held February 17th. The results were perhaps stronger than expected; current vintages sold out, with a bid-to-cover ratio of 1.24 and a clearing price of $17.80, which is above the floor price of $17.71.

ClimeCo is a respected advisor, transaction facilitator, and trader of environmental commodity market products and related services. We specialize in voluntary carbon, regulated carbon, renewable energy credits, plastics credits, and regional criteria pollutant trading programs.  Complimenting these programs is a team of professionals skilled in providing sustainability program management services, and developing and financing of GHG abatement and mitigation systems.

For more information or to discuss how ClimeCo can drive value for your organization, contact us at 484.415.0501, info@climeco.com, or through our website climeco.com. Be sure to follow us on LinkedIn, Facebook, Instagram, and Twitter using our handle, @ClimeCo.

Offset Pricing Monthly Market Digest – February 2020

Offset Pricing Monthly Market Digest – February 2020

Offset Pricing Monthly Market Digest – February 2020

Offset Supply Information:

All CCOs issued to date: 171.06 million

Compliance credits awaiting issuance: 33.81 million

CA and General Market Commentary:

  • ARB’s quarterly allowance auction was held on February 19th, with results announced February 26th. Current vintage allowances cleared at $17.87, with a strong bid-to-cover ratio of 1.52.

ClimeCo Corporation is a respected project developer, advisor and trader of environmental commodity market products. Specialized expertise in regional criteria pollutant trading programs, California cap‐and‐trade, voluntary markets and project development and financing of internal CO2 abatement systems complement ClimeCo’s diverse commodity portfolio. Within the Climate Action Reserve, ClimeCo is the largest developer of U.S. GHG‐offset projects and producer of U.S. voluntary carbon offsets, managing projects that reduce more than four million tonnes of CO2e per year. For information, contact 484‐415‐0501 or nmarshall@climeco.com.

Offset Pricing Monthly Market Digest – February 2020

Offset Pricing Monthly Market Digest – February 2019

Offset Pricing Monthly Market Digest – February 2019

Offset Supply Information:
All CCOs issued to date: 145.94 million
Compliance credits awaiting issuance: 20.85 million

CA and General Market Commentary:

  • ARB announced the results of its February Allowance auction. The auction for current vintage allowances was fully subscribed, with a clearing price of $15.73 ($0.11 above the floor price) and a bid-to-cover ratio of 1.21, indicating strong demand.
  • ClimeCo’s estimate of the 2020 CA auction floor price is unchanged this month, as CPI-U numbers increased slightly in January, but still remain below zero for the period since October 2018, the baseline for the CPI-U annual increase.

ClimeCo Corporation is a respected project developer, advisor and trader of environmental commodity market products. Specialized expertise in regional criteria pollutant trading programs, California cap‐and‐trade, voluntary markets and project development and financing of internal CO2 abatement systems complement ClimeCo’s diverse commodity portfolio. Within the Climate Action Reserve, ClimeCo is the largest developer of U.S. GHG‐offset projects and producer of U.S. voluntary carbon offsets, managing projects that reduce more than four million tonnes of CO2e per year. For information, contact 484‐415‐0501 or nmarshall@climeco.com.

Sources

The definitions in this glossary have been reprinted or adapted from the EPA Climate Change Glossary and the Climate Action Reserve Dictionary.

 

Additional Resources

Energy Information Administration’s Energy Glossary

EPA Overview of Greenhouse Gas Emissions

FEMA Extreme Heat Glossary

IPCC Fourth Assessment Report Working Group 1: The Physical Science Basis

IPCC Fourth Assessment Report Working Group II: Impacts, Adaptation, and Vulnerability

National Weather Service Glossary

NASA’s Earth Observatory Library

UNFCCC glossaries