Australia’s carbon trading market has erupted over the past week with traded volumes leaping more than 50 per cent, as big corporates race to secure offsets ahead of Labor’sThe surge in activity is a sign of growing confidence that Climate Change and Energy Minister Chris Bowen’s safeguard mechanism changes are on track to begin in July, and suggests some investors are bettingClimate Change and Energy Minister Chris Bowen is finalising the federal government’s safeguard mechanism.
The increased corporate activity “indicates some early confidence in the outcome of the safeguard mechanism review”, Mr Grossman said. The market has come under fire from academics and corporate buyers who say too many ACCUs fail to produce genuine carbon abatement or sequestration in addition to what would have occurred in any case.