Banks pile into voluntary carbon market

CBL provides access to the world’s energy and environmental markets. With a vision of bringing efficiency, transparency and liquidity to environmental markets, we connect buyers and sellers around the world to facilitate the secure and seamless trading of products in environmental commodity markets.

H2OX supports efficient, transparent trading of water entitlements and allocations in Australian water markets. By introducing state of the art technology to the sale and purchase of water and associated products, H2OX has streamlined the market, providing independence, efficiency, transparency and 24/7 real-time trading to owners and users of water.

Aviation Carbon Exchange is a partnership between CBL and IATA to provide a marketplace for emissions-compliance obligations under the Carbon Offset Reduction Scheme for International Aviation (CORSIA). CORSIA addresses the increase in total CO2 emissions from international aviation above 2020 levels.

OTX is a leading market-access provider for compulsory stockholding obligations (CSO) tickets—a product related to the oil sector regulation. OTX is rapidly expanding into markets for renewable fuels and renewable-fuel certificates.

Environmental Management Account (EMA) is a comprehensive portfolio-management platform with a unique account structure that makes it easy to consolidate and transact environmental commodities across multiple regulatory regimes, all from one intuitive interface.

The JSE Ventures Carbon Market is a comprehensive marketplace for buying and selling carbon and renewable energy credits via Xpansiv CBL, the largest venue for environmental commodities. The marketplace provides direct access to hundreds of live carbon credit and renewable energy certificates (RECs) on a live marketplace with full depth-of-market view and online order types.

February 11, 2022

By Rob Dalton

“We are seeing an astonishing inflow of new clients. Probably our biggest challenge at the moment is keeping up with the speed of new participants that are coming into the market because we need to onboard them and undergo the KYC checks and do the background registration,” said Henrik Hasselknippe, head of markets at Xpansiv.

Prices on Xpansiv’s CBL market for its Global Emissions Offset Contract rose from less than US$1 at the lowest point in 2021 to close the year at US$8, while its Nature-Based Global Emissions Offset rose from a low of less than US$5 to end at US$15 – some of the biggest price rises seen in any commodity in 2021.

“There is a significant amount of capital coming into the space and it is a direct result of the introduction of financial instruments that the market knows how to use and immediately recognises,” Hasselknippe said.