Carbon Markets

UPDATE: Weekly volumes hit second highest on record, leading ACCU prices to 32-month highs

Our latest Carbon Weekly report has now been published, reviewing activity in the Australian and international carbon markets for the period 4 – 8 November 2024.

Last week saw the Australian carbon market record its second-highest weekly traded volumes on record, with robust spot market activity driven by elevated Generic No-Avoided Deforestation (No-AD) ACCU volumes. As a result, Generic ACCU prices surged past $40/t for the first time in over two years, registering strong weekly gains despite meeting some late-week resistance. Derivatives trading also remained elevated, with increased interest in hedging strategies amid heightened price volatility. Activity was also observed for more premium methods, where prices continue to converge with rising benchmark prices.

In this Carbon Weekly report, we analyse recent activity in the Australian and international voluntary carbon markets, including our ACCU spot price assessments, method spreads, forward activity, and traded volumes. Following last week’s US election, we also take a closer look at the implications for Australia’s carbon market, and the setting of Australia’s 2035 emissions target.

Consistent spot market activity underpins rapid price gains

Last week saw weekly traded volumesthroughout the Australian carbon market elevate to near-record highs (1.78M) – second only to a swathe of

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