Quote of the Day

“The environment is with us forever. There’s a need for market participants to manage the financial risk they have with these new rules and regulations that govern polluting and emitting companies around the globe.”

Gary Morsches, global head of energy markets for CME, in the Wall Street Journal’s “CME Forges Ahead With Carbon Trade”

Lead Stories


CME Group Acquires GreenX Holdings LLC
Press Release
CME Group, the world’s leading and most diverse derivatives marketplace, today announced that it has acquired 100% equity interest in GreenX Holdings LLC (GreenX Holdings), the parent company of Green Exchange LLC (GreenX), and is now the sole owner of the company. CME Group will migrate GreenX contracts and open interest to CME Group’s portfolio of products, and will work with market participants to ensure that trading and clearing of existing contracts on CME Globex and CME ClearPort continues with minimal impact. Customers that currently have open interest on GreenX will continue to be subject to the GreenX rulebook until the contracts and open interest are transitioned to a CME Group CFTC designated contract market.
http://jlne.ws/HmFkoL
**RKB — A deal in the carbon space! Follows news Monday that NYSE Euronext would scale back its own emissions venture: See related story: http://jlne.ws/Hj7q8D

CME Forges Ahead With Carbon Trade
Wall Street Journal
CME Group Inc. CME -0.97% has boosted its commitment to trading carbon emissions, just as rivals backtrack from a market long seen by many as rich in promise but short on profits.
http://jlne.ws/HmH41b

Obama: Cap-and-trade was a Republican idea
The Hill’s E2 Wire
President Obama reminded Republicans Tuesday that cap-and-trade has GOP roots in a rare public reference to the embattled environmental policy.
http://jlne.ws/Hcvc3e
**RKB — The rarely mentioned cap-and-trade creeps out. The Hill reminds us: Romney initially supported the creation of a regional cap-and-trade system for power plants among Northeast and mid-Atlantic states, but backed away before the program launched.

Carbon Prices Plunge

Wall Street Journal
Prices for carbon allowances fell to a record low after European Union data showed a surprise drop in emissions within the region’s trading system in 2011 compared with the previous year. The decline mostly was due to the power sector, with the falloff attributed to increased efficiency and warmer-than-usual weather.
http://jlne.ws/HS0NIG
**RKB — EU carbon allowances for December fell as much as 4.6% to a record 6.05 euros a metric ton after preliminary data Monday showed emissions from factories and utilities in the region dropped 2.4% last year. That implies a third consecutive annual surplus of emissions permits.

EU Ministers to Discuss CO2 Market Future After Price Slump
Bloomberg
European Union ministers will discuss the need to improve the bloc’s emissions trading system on April 19, two weeks after carbon prices fell to a record low, a planning document obtained by Bloomberg shows.
http://jlne.ws/HWHT4V
**RKB — Among the key issues: some “advocate leaving the market to respond,” others “argue that the second main objective of the ETS, to provide a robust price signal and ensure low carbon investments” is falling short, the presidency wrote.

Commentary: CO2 trade jury is out
Sunday Times (South Africa)
Despite the much celebrated second commitment period under the Kyoto Protocol, there is a mood of despondency sweeping global carbon markets.
http://jlne.ws/HLOf5d

US behind China on carbon – Turnbull
The Age
CHINA is more likely than the United States to provide global climate change leadership, the former Liberal leader Malcolm Turnbull believes.
http://jlne.ws/Hb5nVQ

Q&A: The NYT’s Justin Gillis
Columbia Journalism Review
At the end of March, Columbia University awarded the 2011 Oakes Award for Distinguished Environmental Journalism to New York Times reporter Justin Gillis for his ongoing multimedia series, Temperature Rising, examining the fundamental tenets of manmade climate change. Articles in the series, most of which appear on the front page, provide in-depth, back-to-basics assessments of global warming’s effects on glaciers, forests, food supply, weather, and more, and Gillis often follows up with more details on the Times’s Green Blog. Following his latest A1 story, about the strange run from hot to cold temperatures in recent weeks, CJR’s Curtis Brainard talked to Gillis about staying focused on a story that’s lost traction elsewhere in the media.
http://jlne.ws/Hb849U

Japan Alternative-Energy Investment Stalls
Wall Street Journal
More than a year after the accident at a nuclear power plant in Fukushima prefecture caused Japan to rethink its dependence on nuclear energy, uncertainty around the country’s energy policy continues to stymie investor interest in alternative energy.
http://jlne.ws/Hegquf

COLUMN: Green investing good for world, but maybe not for you
John Wasik – Reuters
Want to vote with your dollars when it comes to environmental concerns? One way is to invest in environmentally focused mutual and exchange-traded funds, although you may be trading your green conscience for increased portfolio risk.
http://jlne.ws/HlSbIm

The Right Water Debates in the Wrong Place

Our Water Commons’ Daniel Moss on Huffington Post
The World Water Council, the convener of the World Water Forum, sure knows its market. At their recent global gathering held in Marseille, France, they tapped into the thirst of governments, development agencies and banks, NGOs and private water operators for a conversation about water services and managing the growing water crisis — as well as a shot at lucrative contracts. Exhibition booths included desalinization companies and private firms like Suez and Veolia, the biggest in the industry. The event had the feel of a trade show and the price tag of the Superbowl, dissuasive to thousands of water justice activists who set up a parallel, alternative peoples’ water forum in a dock-side warehouse.
http://jlne.ws/Hd0eYX

Solar Jobs Join Harry Reid to Chinese Billionaire in Price Drop

Bloomberg
A Chinese billionaire is teaming up with the most powerful man in the U.S. Senate to build a solar plant in a dusty corner of Nevada, even as officials accuse China of driving energy companies out of business by dumping cheap components on the American market.
http://jlne.ws/HeP5c7

US

Australia LNG Boom Threatened by U.S. Shale Exporters
Bloomberg
Australian liquefied-natural gas projects planned by companies from Royal Dutch Shell Plc (RDSA) to Woodside Petroleum Ltd. (WPL) and valued at about $100 billion are at risk from rising costs and cheaper U.S. exports.
http://jlne.ws/HcH8Xw
**repeats in Asia

What agriculture can learn from the EPA carbon emissions plan
GreenBiz.com
In working on legislative issues for more than a decade now, I have seen many controversial policies and issues ebb and flow – but rarely do issues of magnitude simply “go away.”
http://jlne.ws/HQi8DU

Sen. Bill Nelson: CFTC head must curb oil speculators or exit

The Hill’s E2 Wire
Sen. Bill Nelson (D-Fla.) is losing patience with a top financial regulator, saying Tuesday that he should either crack down on speculation driving up oil prices or no longer work at his watchdog agency.
http://jlne.ws/HHnfIH

Canada

Encana-Talisman in Play as Petronas Seeks Canadian Gas: Real M&A
Bloomberg
Malaysia’s bid to secure natural gas supplies in Canada is turning Encana Corp. (ECA) and Talisman Energy Inc. into two of the industry’s cheapest targets.
http://jlne.ws/HLuKtw

Analysis: Stephen Harper faces tricky terrain during ‘Three Amigos’ summit

Toronto Star
Hot on the heels of a federal budget that doubles down on the full exploitation of Alberta oilsands, Harper is placing himself in tricky terrain — an ostensibly unfiltered hour of questioning that will dangle, among other things, the political pinata of Keystone XL.
http://jlne.ws/He8LjI

Scientists continue oilsands battle in journal
Postmedia News
A Royal Society of Canada panel that assessed environmental impacts of oilsands development and a prominent Alberta ecologist have started a new round in a debate on the pages of a prestigious scientific journal about whether the original report overlooked some consequences of industrial development.
http://jlne.ws/Hmfjqq

Europe

New push for carbon capture and storage with 1bln sterling competition
Guardian
More than 1bn sterling of public funds will be allocated to a new push to develop carbon capture and storage technology, that could create an industry with 100,000 jobs, with the revival of a government-sponsored competition to design the first workable demonstration project.
http://jlne.ws/HX112E

U.K. Launches New Carbon Capture Initiative
Wall Street Journal
The U.K. government Tuesday relaunched its competition to fund commercial-scale carbon capture and storage, widening the scope to include gas power stations as well as coal-fired plants, industrial emitters and new technologies.
http://jlne.ws/HlQD19

Public Fears Cloud U.K. Shale Drilling
Wall Street Journal
As a gas leak from Total SA’s Elgin field underlines the risks of North Sea oil and gas production, the U.K.’s onshore shale-gas industry is still struggling to overcome public fears about the safety of its techniques—which could unlock a badly-needed replacement for dwindling offshore reserves.
http://jlne.ws/H70KZi

Greece Eyes Jobs, Growth Impulse From Solar Energy Export
Bloomberg
Greek Prime Minister Lucas Papademos vowed to accelerate a 20-billion euro ($27 billion) solar-power project that would help the European Union’s most-indebted nation spur growth and export clean energy.
http://jlne.ws/HjaxgP

Besson Says France to Decide ‘This Week’ About Wind Farms

Bloomberg
The French government will decide this week which companies have won contracts to build wind farms off the French coast, Industry Minister Eric Besson said after a cabinet meeting.
http://jlne.ws/HS7Q4f

EU energy savings plan too weak: green campaigners
Reuters
The latest proposal from the Danish EU presidency on how to improve the European Union’s record on energy efficiency is far too weak to close the gap between savings so far and its goal for 2020, a coalition of campaigners said on Monday.
http://jlne.ws/HWzL1r


Asia


Industries will pay for low energy efficiency

Hindustan Times
In a new measure to check emissions responsible for global warming, the government has notified a domestic carbon trade mechanism that will impose penalties on industries failing to achieve new energy efficiency targets. New rules notified for eight energy-intensive sectors will allow the government to impose a penalty of over Rs 10,000 for missing the target by 1 tonne of oil-equivalent. It means that if a company falls short by 5 tonnes of oil-equivalent, it will have to pay a penalty of over Rs 50,000 to the government.
http://jlne.ws/HWO85V

Noble parts company with CO2 director after big loss

Point Carbon
Noble Group’s sales director of carbon credits has left the company five months after the Hong Kong-based trading house posted a big loss on its CO2 business, two company sources said Tuesday.
http://jlne.ws/HeDTzX

Australia LNG Boom Threatened by U.S. Shale Exporters
Bloomberg
Australian liquefied-natural gas projects planned by companies from Royal Dutch Shell Plc (RDSA) to Woodside Petroleum Ltd. (WPL) and valued at about $100 billion are at risk from rising costs and cheaper U.S. exports.
http://jlne.ws/HcH8Xw
**repeats in US


Latin America

Solazyme Jumps on Bunge Biofuel Deal in Brazil: Sao Paulo Mover
Bloomberg
Solazyme Inc. (SZYM), which develops oil products from genetically modified algae, rose the most in more than four months after announcing a joint venture with Bunge Ltd. (BG) to build a plant in Brazil.
http://jlne.ws/HaWmvV

Pin It on Pinterest

Share This Story