In this edition, China’s carbon market debut features in our Leads section. Plus, Carbon Capture ‘Vital’ to Meet Climate Goals, Shell Adviser Says from Bloomberg. And, Global smart grid market to more than double by 2020, says GreenBiz.com.

Quote of the Day:

“The meager volume and pre-approved price level of today’s trades is likely to characterize the initial stages of all of China’s seven ETS pilots.”

–Richard Chatterton, a London-based analyst for New Energy Finance, in Bloomberg’s “China Carbon Permits Trade 22% Below Europe on Market Debut”

Lead Stories

China launches first carbon market in Shenzhen
Financial Times
China saw its first-ever domestic transaction in the right to discharge carbon dioxide at the launch of its first pilot carbon market on Tuesday, moving the world’s largest CO2 emitting country closer to capping such pollution.
http://jlne.ws/16eTgA0
**RKB — Featured trade: A power plant of Shenzhen Energy Group, a state-owned utility, sold an emission permit for 10,000 tonnes to the Guangdong arm of state oil group PetroChina for Rmb28 ($5) a tonne and another 10,000 tonnes to Hanergy, a privately owned power generator and solar-panel maker, for Rmb30 a tonne, according to the Shenzhen Carbon Exchange.

China Carbon Permits Trade 22% Below Europe on Market Debut
Bloomberg
China traded its first carbon dioxide permits for 22% less than today’s price in Europe as the nation inaugurated the Shenzhen Emissions Exchange as part of its plan to limit heat-trapping gases linked to climate change.
http://jlne.ws/18XLVKu
**additional coverage of China’s market debut in Carbon section.

Glimmer of hope for carbon markets
Eco-Business.com
Carbon markets suffered a heavy setback recently when the European Parliament rejected a plan to boost the flagging price of carbon in the region’s emissions trading scheme (ETS). But while carbon trading worldwide has been floundering, experts say carbon markets have a permanent role in combating climate change and are predicting an industry revival in the coming years.
http://jlne.ws/19hPyYo

Steelmakers reap benefits from US shale gas revolution
Financial Times
Amid the industrial ruins of the Mahoning river valley in eastern Ohio, a decrepit stretch that was once one of the great steelmaking centres of the world, the huge new Vallourec Star pipe mill looks like a spaceship from some more advanced civilisation.
http://jlne.ws/10v9oz9

FTSE Adds New ‘Food, Agriculture and Forestry’ Sector to Environmental Markets Series
FTSE Press Release
New Environmental Markets index sector identifies food, agriculture and forestry industries as playing major role in providing solutions to global environmental challenges.
http://jlne.ws/16Ijko1

Why Dwindling Snow — Thanks Largely to Climate Change — Might Dry Out Los Angeles
Time Magazine’s Ecocentric blog
While the national government remains slow to deal with climate change, many cities have been moving ahead. Why the difference? Well, cities tend to be more homogenous politically, which makes any kind of decisive action easier to push through. But the real reason is that city managers know they will be the first ones forced to deal with the likely consequences of global warming: rising sea levels and flooding, deadly heat waves and water struggles.
http://jlne.ws/16InxrV

Reuters Newsmaker: A Conversation with World Bank Group President Jim Yong Kim
The World Bank/Reuters
http://jlne.ws/17lVUc7
**RKB — Wide-ranging online interview includes the topic of climate change. On Wednesday the World Bank will unveil a report titled “Turn Down the Heat: Climate Extremes, Regional Impacts, and the Case for Resilience.”

Winners of the 2013 FT/IFC Sustainable Finance Awards
Financial Times
http://jlne.ws/19OO0aV

Events

2013 Rising Seas Summit
Association of Climate Change Officers
Fort Lauderdale, Florida
June 18-20
http://jlne.ws/16i3JOk

New York Energy Week
New York, NY
June 24 -28
http://jlne.ws/ZB89bL

Converge Paris
Sustainable Energy Tech Conference
Paris, France
June 24-28
http://jlne.ws/14ClDYZ

EMA’s 17th Annual Meeting
September 25-27, 2013
Monte Carlo Resort, Las Vegas, NV
http://jlne.ws/192w3CR

Carbon

China Introduces Local Program for Reducing Emissions
Reuters
China unveiled its first pilot carbon emissions exchange Tuesday, though plans for a nationwide rollout and efforts to apply the program to some heavy industries could be undermined by a slowdown in the nation’s economy.
http://jlne.ws/12TQUK9

China’s first carbon market faces ‘credit oversupply’ dilemma
Responding to Climate Change blog
China’s first carbon market will launch on Tuesday amid warnings that it could face similar oversupply problems to the EU system.
http://jlne.ws/12aEh5K

China launches carbon trading scheme in bid to reduce emissions in Shenzhen
ABC
China, the world’s largest carbon emitter, has launched its first carbon trading scheme as it tries to reduce pollution from greenhouse gases. A platform allowing businesses in the southern city of Shenzhen to trade permits to emit carbon was established on Sunday, and trading began on Tuesday.
http://jlne.ws/10wkFPB

Carbon Capture ‘Vital’ to Meet Climate Goals, Shell Adviser Says
Bloomberg
Carbon capture and storage, a way of cutting emissions from industry by burying them underground, needs more state support for the European Union to meet clean-energy goals, a Royal Dutch Shell Plc (RDSA) adviser said.
http://jlne.ws/1bT6sMd

U.K. businesses must plan ahead of EU carbon vote
Energy Live News
UK businesses are being urged to review their carbon strategies ahead of the EU vote on back-loading permits next month as it could triple the market price of carbon.
http://jlne.ws/12JhR1B

Pratt & Whitney Launches 2025 Sustainability Goals to Be Achieved by Its 100thAnniversary
Press Release
Pratt & Whitney launched aggressive goals today to further improve the sustainability of its factories, suppliers and products by 2025 and increase efficiencies, create added value for its customers and employees, and lead industry efforts to reduce aviation’s environmental impact. Pratt & Whitney is a United Technologies Corp. (NYSE:UTX) company. Energy: Energy use will be optimized. We will reduce greenhouse gases by 80 percent. [Results to date: Since 2006, P&W has reduced greenhouse gases by 30 percent in its factories – 232,000 metric tons of CO2 (the equivalent of taking more than 45,000 cars off the road). P&W also reduced air emissions from chemicals by 60 percent or 117,000 pounds (equivalent to the volume contained in 100 hot air balloons filled with noxious gases)].
**No link

Natural Gas/Coal

Coal Industry Pins Hopes on Exports as U.S. Market Shrinks
The New York Times
Every few hours trains packed with coal pass through the sagebrush-covered landscape here in southern Montana, some on their way north to Canadian ports for shipment to Japan and South Korea. If the mining company Cloud Peak Energy has its way, many more trains will cross the prairie to far larger proposed export terminals in Washington State.
http://jlne.ws/19OQBll

Gas Prices Moving Away From Link to Oil
The New York Times
Last month, Mitsui and Mitsubishi, of Japan, and GDF Suez of France said they would join with Sempra Energy, based in San Diego, California, to build a $10 billion liquefied natural gas plant in Hackberry, Louisiana.
http://jlne.ws/141c1W4

Power

Electricity From New UK Nuclear Plant To Be Linked to Inflation
The Wall Street Journal
The U.K. government has agreed that the guaranteed fixed price for electricity from a new nuclear power plant that Electricite de France SA EDF.FR -1.28% (EDF.FR) wants to build would be fully linked to inflation, said people familiar with the matter, a move that would add tens of billions of pounds to the total cost of electricity from the reactors.
http://jlne.ws/13SfHuK

PensionDenmark Invests in Wind Farm Offshore Nantucket
Bloomberg
PensionDanmark has pledged $200 million in funding for a wind farm in Nantucket Sound, in the first committed investment in Cape Wind Associates LLC’s proposed 468-megawatt park offshore Cape Cod.
http://jlne.ws/10v6DOd

Bahrain Eyes $4 Billion in Power, Water Projects: Alwasat
Alwasat/Bloomberg
Bahrain plans to spend as much as $4 billion by 2018 on power projects and water desalination plants to meet demand, Alwasat newspaper said, citing Electricity and Water Minister Abdul Hussain Ali Mirza.
http://jlne.ws/15hC0rA
**repeats in Water

Triogen Group Raises Funding to Expand Heat-to-Power Technology
Bloomberg
Triogen Group BV, a Dutch maker of equipment that turns waste heat into electricity and water, raised 6.5 million euros ($8.7 million) to expand.
http://jlne.ws/10v7OgC

COLUMN-E.ON bets on fuel cells for small-scale energy: Wynn
Reuters
Germany utility E.ON has made a high-risk bet on fuel cells for distributed power, after entirely missing out on a solar boom in Europe’s largest economy.
http://jlne.ws/19QbTPv

Duke Energy Names Good to Succeed Rogers as CEO
The Wall Street Journal
Duke Energy Corp. DUK +0.86% said Tuesday that finance chief Lynn Good will become its next president and chief executive, succeeding Jim Rogers, who will continue as chairman until his retirement at year end.
http://jlne.ws/1arVaAH

CleanTech

Global smart grid market to more than double by 2020
GreenBiz.com
The global market for smart grid technologies is poised to deliver stellar growth over the next seven years, according to a report from analyst firm Navigant Research.The report argues that the global smart grid market, which includes the markets for smart meters and appliances as well as smart infrastructure technologies, is already well established and was worth more than $33 billion globally last year.
http://jlne.ws/17kF2Cp

Solar-Powered Plane Faces the Human Factor
The New York Times
CHANTILLY, Va. — Nearing the end of a cross-continent flight powered by solar electricity, the designers of the Solar Impulse airplane are looking at the challenge of flying around the globe but focusing on the weak spot in their cutting-edge technological effort: human frailty.
http://jlne.ws/13RnARa

Water

Bahrain Eyes $4 Billion in Power, Water Projects: Alwasat
Alwasat/Bloomberg
Bahrain plans to spend as much as $4 billion by 2018 on power projects and water desalination plants to meet demand, Alwasat newspaper said, citing Electricity and Water Minister Abdul Hussain Ali Mirza.
http://jlne.ws/15hC0rA
**repeats in Power

IFC Making Water Loans for Projects in Middle East, North Africa
Bloomberg
International Finance Corp., the World Bank’s Washington-based lending arm, is arranging as much as $70 million in financing for water-efficiency and wastewater projects in the Middle East and North Africa.
http://jlne.ws/11MWO9j

Reports

Four energy policies can keep the 2 Degree C climate goal alive (Posted June 10, 2013)
IEA
http://jlne.ws/12Bpk41

Maneuvering the Mosaic: State of the Voluntary Carbon Markets 2013 (Posted June 10, 2013)
Ecosystem Marketplace
http://jlne.ws/12Cyi0X

Mapping carbon pricing initiatives: developments and prospects (Posted May 30, 2013)
World Bank
http://jlne.ws/15iik9E

Extreme Weather and Climate Change in the American Mind April 2013 (Posted May 1, 2013)
Yale Project on Climate Change
http://jlne.ws/ZWPD1Z

Clearing the Air: Reducing Upstream Greenhouse Gas Emissions from U.S. Natural Gas Systems (Posted April 8, 2013)
World Resources Institute
http://jlne.ws/10M9Um3

The State of Green Business 2013 (Posted February 12, 2013)
GreenBiz.com
http://jlne.ws/12K3WYL

Can the US Get There from Here? (Posted February 6, 2013)
WRI
http://jlne.ws/X5PgyQ

The Billion Euro Aviation Bonanza – Aviation’s Participation in the EU ETS (Posted January 22, 2013)
http://jlne.ws/WHQez7

View all reports >

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