Carbon Markets

UPDATE: ERAC meets on key Savanna Fire Management methods, could test near term price stability

Activity in the Australian carbon market was subdued last week with trading interrupted by the Lunar New Year holiday and local industry events. Despite the market lull, it was an active week for policy and regulatory developments, including the new Savanna Fire Management methods, which we discuss in this weekly update.

RepuTex’s Carbon Weekly report breaks down activity in the Australian exchange-traded and OTC carbon markets (spot and derivatives) over the past week, including key trends and drivers, our latest pricing and benchmarks, and our daily forward curves.

Weekly activity and traded ranges fall to YTD lows over Lunar New Year holiday-interrupted week

Total traded volumes across the Australian exchange-traded and over the counter (OTC) carbon markets fell to a year-to-date (YTD) low of 238k last week (-167k WoW), well below the compliance YTD average (709k) and the February 2025 weekly average (636k).

Activity was confined to a heavily subdued spot market (238k, -142k WoW), with volumes led by Generic No-Avoided Deforestation ACCUs (76%), followed by HIR ACCUs (13%), Generic ACCUs (4%) and SMCs (4%).

As a result, price action was similarly subdued, with traded levels consolidating marginally below the previous week’s Generic (Market Close) ($37.15/t) and the $37/t mark

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