The value of the global carbon market grew by 15% during 2014 to €45bn, according to the latest analysis from the Point Carbon team at Thomson Reuters.
Higher prices in the European emissions trading scheme (EU ETS) and steady liquidity and prices in the North American markets were the main reasons for the increasing value of carbon markets. In terms of trading activity, however, the traded volume shrank by 17% to 7.7 billion (Gt) in 2014.
In 2015, the world’s carbon market will grow by 10% to 8.5 Gt while its value will increase by half to €69.5bn, according to senior Point Carbon analyst Olga Chistyakova. This forecast is based on a higher turnover of EUAs on the secondary market and a virtual doubling of the volume of North America’s Western Climate Initiative (WCI) to 610 Mt in 2015 following the expansion of the cap to include transportation fuels and natural gas, translating to larger auction volumes and higher secondary market liquidity.
“By 2017, we expect a gradual but steady increase in the global carbon market volume to 11.5 Gt, surpassing the 2012 record volume of 10.8 Gt by a significant margin,” commented Chistyakova.
... to continue reading you must be subscribed
