ALERT: Australian carbon price ends 2019 higher as climate policy pressure builds

The Australian carbon spot price ended 2019 higher, trading between $17.20-30 in January, just under a 4-year high of $17.50/t recorded in November. The price of Australian Carbon Credit Units (ACCUs) has grown almost 20 per cent from a low of $14.80/t in July 2019, driven by increased demand from state governments and voluntary emissions reductions from large emitting companies.

The prospect of tighter emissions regulation may lead to a more bullish outlook for carbon prices over 2020 as expectations build for a more robust emissions policy framework. While a shift in rhetoric is easier than a shift in policy, the