Carbon Markets

ALERT: Australian Carbon Credit Unit price ends the week on a (new record) high

After a quiet fortnight, the price of Australian Carbon Credit Units (ACCUs) ended the week on a new record high, climbing 6% to $24.50/t on Friday behind a series of spot trades (via Jarden) and forward transactions.

The ACCU spot price has now surpassed the high point of $24.15/t under the former Carbon Price Mechanism (2013-14), which imposed a fixed price for carbon emissions produced in the 2012-13 and 2013-14 financial years, prior to its repeal by the Abbott Government with effect from 1 July 2014.

RepuTex’s ACCU spot price assessment has now grown 48% year-to-date, with strong recent gains primarily driven by larger compliance buyers continuing to accumulate ACCUs to surrender against their multi-year baselines. Increased compliance demand ahead of the Feb-22 deadline to surrender ACCUs under the safeguard mechanism, amid a tight supply setting, has created a bullish environment for spot prices and forward contracting.

Three forward transactions were also recorded (Jarden), for delivery in Feb-22 and Feb-23. Twelve forward transactions have been recorded since Apr-21, for delivery between Feb-21 and May-23 at range of between $18-25.70/t. For a full list of forward transactions, refer to our “Forward trades” tab on this page.

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