Carbon Markets

MARKET MONTHLY: Hedging and review uncertainty sees 2025 compliance year on track for first volume decrease in 5 years

Total ACCU traded volumes increased over January, yet were materially lower than 2025 levels, despite revived options trading as participants repositioned for the year ahead. Notably, RepuTex data indicates that traded volumes for the 2025 compliance year (April 2025 to end March 2026) are on track for their first decline in 5 years due to early compliance hedging and uncertainty surrounding the upcoming FY26/27 Safeguard Mechanism review.

This monthly State of the Australian Carbon Market report provides a detailed review of activity in the ACCU spot and derivative markets over the past month, including pricing and traded volumes for spot, forward and options, market depth, net market holdings (inventory), and our OTC ACCU forward curves.

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