for Technology Credits
The C-GEO contracts trade alongside the GEO and N-GEO on the CBL exchange, which offers access to a broad range of individual carbon-offset projects from leading registries, enabling unrivaled choice. But for those who don’t want to choose—or don’t have the resources to screen the vast universe of individual energy projects—the C-GEO contracts provide streamlined solutions. When you buy a C-GEO contract, you purchase an underlying energy, renewable tech-based project that meets stringent quality and integrity criteria defined by CBL.
C-GEO Contract Overview
The C-GEO contract design incorporates many of the best elements of CBL’s GEO and N-GEO contract specifications to enhance the contract’s reliability as a benchmark, optimize the underlying high-quality credit supply to maximize liquidity and price discovery, and streamline and minimize operational requirements. The C-GEO contracts are identical except for the initial vintage ranges they cover and how the ranges change over time.
C-GEO, ROLLING VINTAGE RANGE
To ensure currency, the C-GEO contract has a rolling, six-year vintage range. At mid-year (beginning in 2022) credits from the oldest, 2016 vintage will become ineligible for the contract and vintage 2022 will be added. This mechanism will enable the contract to be used to price longer-dated forward contracts, among other benefits.
C-GEO-TR, OLDER, EXPANDING VINTAGE RANGE
To accommodate older credits, including those that roll off the C-GEO when the vintage range advances, a second C-GEO contract, the C-GEO-TR, trades alongside the C-GEO. Conforming credits from 2012–2015 are deliverable into the C-GEO-TR, which provides a robust benchmark for the vintage range and sector. Unlike the C-GEO’s rolling vintage range, the C-GEO-TR has an expanding vintage range to ensure older credits remain eligible for delivery into the instrument.
The pool of credits underlying the C-GEO is estimated at more than 100 million, which is approximately three times the size of the eligible supply for CBL’s GEO contract. The C-GEO-TR’s deliverable supply is estimated at 57 million credits, bringing the total for both contracts to more than 160 million credits.
Like the N-GEO, the C-GEO contracts are single-registry instruments. Only eligible credits from the Verra Registry can be delivered into the new contracts. Further streamlining the contract design and differentiating the C-GEO from the GEO, no SDG reports will be required and there will be no project start-date restrictions.
C-GEO is not intended to represent or convey voluntary offset units associated with the forthcoming ICVCM accreditation program.
CME C-GEO Futures: Xpansiv Risk Management and Trading Opportunities
Xpansiv partnered with CME Group, the world’s leading derivatives exchange, to create standards-driven CBL C-GEO™ futures, which track offset projects across energy, renewables, and other technology-based offsets from the Verra registry. This futures contract follows the successful launches of the spot GEO®, N-GEO™, and C-GEO on Xpansiv market CBL. CME C-GEO futures offer new trading opportunities and risk mitigation for voluntary carbon markets. The contracts are physically settled with delivery occurring via CBL’s proven settlement infrastructure.
CME C-GEO futures further enhance the GEO suite’s utility as a global carbon benchmark, providing a clear line of sight on a carbon-efficient future.LEARN MORE
The C-GEO Product Guide offers an introduction to C-GEO, contract specifications, frequently asked questions, and a guide on how to trade the C-GEO.
Introducing the Core Global Emissions Offset™, the latest evolution of CBL’s Global Emissions Offset™. The C-GEO™ provides companies with the transparency they need to effectively meet emissions-reductions targets.