Maneuvering the Mosaic: Full Report - Forest Trends

More documents

Recommendations

Info

56 State of the Voluntary Carbon Markets 2013 4. Details of the Deals: Buyers and Contract Structures new contracts,” says Conservation International’s Agustin Silvani of the organization’s Peru-based REDD project. “Offset issuance gave us some breathing room. Once you get into a cycle of verifying reductions every year or two, you can focus your energies on fi nding the capital to support the project.” The way in which offset payment and delivery are contracted does ultimately infl uence their price, as seen in Table 15. Here, spot contracts see the lowest unit prices, though this price is the aggregation of millions of contracted tonnes, the prices for which vary highly by other factors like project type and standard (Figure 38). Contracts specifying a fi rm delivery of tonnes (as opposed to a delivery volume that is contingent upon the volume of tonnes issued to a project) were associated with the highest average prices. This refl ects a lower risk to the buyer if the contract places a liability on the offset supplier to make up any shortfall with tonnes from other projects in the marketplace; from future issuances from the same projects; or via refund or other arrangement. With regard to forward transactions, as seen in Figure 47 we tracked a larger volume of offsets from future vintages contracted by offset end users, rather than by offset retailers. As seen in several regional fi gures that track price by vintage, the vast majority of forward contracts were associated with offset projects in North America and thus represent pre-compliance activity, rather than purely voluntary offset project investment. On the purely voluntary side of the marketplace (i.e., the market for offsets from projects in developing countries) less than a dozen forward contracts occurred and primarily between project developers and (again) end buyers of forest carbon offsets. Table 15: Transacted Volume and Average Price by Payment and Delivery Terms Payment Type POD Pre-pay POD Pre-pay Delivery Type Volume (MtCO 2 e) Average Price Spot 35.6 M $3.4/t Unit contingent Unit contingent Mix, unit contingent and fi rm Mix, unit contingent and fi rm 13.1 M $4.2/t 4.7 M $5.5/t 2.1 M $5.5/t 1.3 M $7/t POD Firm 3 M $9.3/t Pre-pay Firm 2.7 M $9.3/t Notes: Based on 65.5 MtCO e associated with a 2 contract structure. Source: Forest Trends’ Ecosystem Marketplace. State of the Voluntary Carbon Markets 2013. As one offset retailer puts it, the retail sector’s lack of forward offset contracting is “not for lack of trying.” They and other retailers explain that their investments are primarily tied to individual offset clients’ demand for supporting new project activities, which may remain piecemeal and small as long as abundant supplies of issued offsets are available for the full range of project types.
Maneuvering the Mosaic State of the Voluntary Carbon Markets 2013 5. Regional Market Deep Dive Where’s, Who’s, and How’s of Voluntary Offsetting in 2012
Page 1 and 2:
Premium Sponsor Maneuvering the Mos
Page 3 and 4:
Maneuvering the Mosaic State of the
Page 5 and 6:
Last year, voluntary actors worldwi
Page 7 and 8:
These and other fi ndings are descr
Page 10 and 11:
x State of the Voluntary Carbon Mar
Page 12 and 13:
xii State of the Voluntary Carbon M
Page 14 and 15:
xiv State of the Voluntary Carbon M
Page 16 and 17:
xvi State of the Voluntary Carbon M
Page 18 and 19:
xviii State of the Voluntary Carbon
Page 20 and 21:
xx State of the Voluntary Carbon Ma
Page 22 and 23:
2 State of the Voluntary Carbon Mar
Page 24 and 25:
4 State of the Voluntary Carbon Mar
Page 26 and 27: 6 State of the Voluntary Carbon Mar
Page 28 and 29: 8 State of the Voluntary Carbon Mar
Page 30 and 31: 10 State of the Voluntary Carbon Ma
Page 38 and 39: Maneuvering the Mosaic State of the
Page 96: Maneuvering the Mosaic State of the
Page 99 and 100: - including internally created stan
Page 101 and 102: Maneuvering the Mosaic State of the
Page 103 and 104: A.1.1 Carbon Project Accounting Sta
Page 105 and 106: The Gold Standard - GS (Version 2.2
Page 107 and 108: A.1.2 Project Co-Benefits Programs
Page 109 and 110: Korea Verified Emissions Reduction
Page 111 and 112: A.1.4 Standards to Watch Brasil Mat
Page 113 and 114: and transportation. The program wil
Page 115 and 116: Infrastructure Provider APX Austral
Page 117 and 118: CF Partners www.cf-partners.com Cle
Page 119 and 120: Love the World www.lovetheworld.com
Page 121 and 122: timber of the 21st century Sponsors
Page 123 and 124: Sponsors State of the Voluntary Car
Page 125 and 126: State of the Voluntary Carbon Marke
show all

Maneuvering the Mosaic: Full Report - Forest Trends

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?