California carbon steady above $15
California carbon allowances (CCAs) saw a slight drop in price by 15 cents from the previous week, but remained above the $15 threshold that many market analysts are viewing as the unofficial floor.
CCAs were bid/offered at $15.00/$15.30 respectively, with 16,000 CCAs exchanging hands on the Intercontinental Exchance (ICE).
California carbon offsets (CCOs) that regulated emitters can purchase to meet up to 8% of their compliance obligation gained attention this week as well.
Two major carbon registries announced they are undergoing California Air Resources Board (ARB) certification in order to begin supplying CCOs to the market.
Many of these CCOs will be generated through the ARB’s Early Action Program, which will allow formerly voluntary offset credits to transition to California’s compliance market if they undergo another round of verifications to ensure the offset projects are additional and legitimate.
So far the ARB has approved four offset project types for use in the California carbon market including Forestry, Urban Forestry, Livestock Methane, and the destruction of Ozone Depleting Substances (ODS).