On 21 May 2013 the California Air Resources Board (ARB) released summary statistic results of its third cap-and-trade auction of California carbon allowances held 16 May 2013.   Earlier, ARB posted summary statistic results of its two previous auctions on its Cap-and-Trade Program Web site.

The final numbers for the third auction include sales figures and settlement price for 2013 and 2016 vintages.

2013 Vintage

Number offered:  14,522,048

Number sold:   14,522,048

Settlement Price:   $14.00 per allowance

2016 Vintage

Number offered:  9,560,000

Number sold:  7,515,000

Settlement Price:   $10.71 per allowance

South Korea to launch cap-and-trade

With roughly 18 months until launch, South Korea appears ready to create the world’s most ambitious cap-and-trade market, with the highest global price on carbon according to a Bloomberg New Energy Finance (BNEF) white paper analyzing how potential market designs could affect the nation’s carbon price and market efficiency.

What this means to you

For government entities focused on limiting carbon emissions, cap-and-trade offers twin benefits:  A means of GHG emission mitigation, plus a new source of revenue.  Governments will be closely following California’s program as well as the launch of the South Korea effort.

MIRATECH can help

Contact MIRATECH to discuss what cap-and-trade could mean for owners of stationary engines.