by Derek Six | December 6, 2023

Offset Supply Information:

All CCOs issued to date: 254.48 million

CA and General Market Commentary:

• Results for the Q4 ARB allowance auction was announced on Wednesday, November 22. For current vintages, the auction cleared at $38.73, a new record high clearing price, and a little bit higher than the market was anticipating.
• DEBs and Non-DEBs CCOs continued to move in opposite directions again this month as DEBs gained and Non-DEBs credits traded lower. DEBs credits are perceived as being in short supply while Non-DEBs credits are perceived as adequately supplied. ClimeCo has questions as to whether this perception is correct. We note that in the latter half of the decade, offset usage limits are set to increase from 4% to 6%, and we note some structural issues as ODS issuances/project decline and Ag Methane projects have now almost entirely moved out of the offset program in favor of the CA LCFS program.
• Issuances of CCOs in November totaled 535,958. Issuances YTD in 2023 are higher than YTD 2022 by 0.6% but lower than YTD 2021 by 34.2%: 

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.