California carbon allowances trading at $14.40

California carbon allowances trading at $14.40

California carbon allowances (CCAs) for use in the state’s carbon market traded at $14.40 over the week on the secondary market.

According to the state’s Air Resources Board (ARB) the next CCA auction will be held on Tuesday, February 19, when 12,924,822 vintage 2013 CCAs and 9,560,000 vintage 2016 CCAs will be put up for sale.

Trading volumes remain high as over 3 million CCAs have traded since January 1, when the California market’s first compliance period launched.

Large, stationary businesses that emit over 25,000 tonnes of carbon dioxide equivalent annually, such as power plants and fuel refineries, will have to purchase CCAs and California carbon offset credits to account for their annual emissions.

The first CCA auction last November generated nearly $300 million in revenue that California will use to fund other green initiatives in the state.

(2/8/13)