Shipping Industry Insurance Companies Join the Net-zero Movement

Carbon Credits
-
0
Shipping Industry Insurance Companies Join the Net-zero Movement

Six of the world’s major marine insurers have undertaken a ground-breaking project to give carbon emissions transparency and promote the shipping industry’s green transition.

The Poseidon Principles for Maritime Insurance (PPMI) establishes a methodology for quantifying and disclosing the climate alignment of marine insurers’ underwriting portfolios.

This aims at developing a sector-specific methodology to support the ambition of the Net-Zero Insurance Alliance (NZIA).

NZIA members have committed to transitioning their underwriting portfolios to net-zero GHG emissions by 2050.

This is in line with the International Maritime Organization (IMO) who adopted a zero-emissions target by 2050 at the COP 26 climate summit.

Signatories to the PPMI have committed to assessing and disclosing the climate alignment of their hull and machinery portfolios.

They have also benchmarked their alignment with two initial pathways:

  1. A 50% reduction in annual CO2 emissions by 2050 compared to 2008 (this is in line with the IMO’s Initial GHG Strategy)
  2. A 100% reduction in emissions by 2050.

Members include: Swiss Re, Gard, Hellenic Hull Management, SCOR, Victor International, and the Norwegian Hull Club.

More marine insurers are anticipated to join in the not-too-distant future.

Finite Carbon Launches Carbon Credit Program for Canada

Carbon Credits
-
0
Finite Carbon Launches Carbon Credit Program for Canada

Finite Carbon, North America’s leading developer and supplier of forest carbon credits recently launched a forest carbon credit program in Canada.

Last year BP purchased a majority stake in Finite Carbon for an undisclosed amount.

Finite has generated over 1/3rd of all compliance offset supply and delivered more than $800 Million to landowners. Their project portfolio is over 3.1 million acres across the US and is now expanding to Canada.

The new Canadian program will allow forestland owners and First Nations to receive revenue from the carbon credit sales.

The owners will be able to manage their lands independently to remove and store CO2 across Canada’s vast forestlands.

Canada has 9% of the world’s forests and this effort can help significantly to the worldwide Net Zero movement.

This new program is in response to the American Carbon Registry’s recent Methodology for Improved Forest Management (IFM) on Canadian Forestlands (ACR).

The new framework allows for carbon credit project development, registration, and verification of emission reductions.

This is a new pathway for privately held Canadian forestlands to play a role in carbon reductions has opened up.

It is open to all Canadian landowners who are not subject to provincial or federal forest management restrictions.

Finite is also launching a platform for smaller landowners with as little as 40 acres.

Elysian Carbon Management Secures $350M

Carbon Credits
-
0
Elysian Carbon Management Secures $350M

Earlier this month, Elysian Carbon Management secured a $350 million investment from EnCap Flatrock Midstream (EFM).

Elysian provides integrated, full-service carbon capture and storage solutions across industries and power facilities.

The funds will allow Elysian to focus on developing integrated carbon capture and storage solutions. The overall goal is to reduce carbon emissions by at least 10 million metric tons per year.

EnCap Flatrock Midstream was formed in 2008 and manages nearly $9 billion in assets. They are based in San Antonio, with Oklahoma City and Houston offices.

As more companies seek ways to offset their carbon emissions – the carbon capture and storage industry is expected to increase – just like the carbon credit industry.

EFM Managing Partner David J. Kurtz, a member of the Elysian board of directors, said, “Elysian is at the forefront of developing projects necessary to support carbon reduction goals across North America. Few independent teams in this nascent sector have a comparable depth and breadth of the technical, financial, and operational experience needed to bring CCS projects to fruition.”

As the climate crisis continues, carbon capture, carbon storage, and carbon offsets will be needed to help mitigate environmental risk. Continued partnerships, such as Elysian and EFM, will help make environmental, social, and governance goals attainable.

Energy CEO Skeptical of Carbon Capture

Carbon Credits
-
0
Energy CEO Skeptical of Carbon Capture

Francesco Starace, CEO of Enel, a multinational Italian energy firm, isn’t so sure about carbon capture and storage.

He suggests that it is not a solution to the climate change crisis.

Carbon capture aims to stop CO2 from reaching the atmosphere by keeping it underground in geological formations, but Starace sees it differently.

“We have tried and tried — and when I say ‘we,’ I mean the electricity industry,” Starace told CNBC.

“You can imagine, we tried hard in the past 10 years — maybe more, 15 years — because if we had a reliable and economically interesting solution, why would we go and shut down all these coal plants [when] we could decarbonize the system?”

“The fact is, it doesn’t work; it hasn’t worked for us so far,” he said. “And there is a rule of thumb here: If a technology doesn’t really pick up in five years — and here we’re talking about more than five, we’re talking about 15, at least — you better drop it.”

Starace went on to say that there is one solution.

“Basically, stop emitting carbon.”

Though Starace has not seen much success with carbon capture and storage within his own industry, that doesn’t mean that it doesn’t have a role to play.

Like carbon offsets – carbon capture and storage should be used alongside new technologies that reduce carbon emissions, not just neutralize, or capture them.

The carbon offset industry continues to grow – and with COP26 leaders setting a global standard, experts believe it will be integral in helping companies meet increasing regulations.

Alongside Starace’s announcement, Enel has moved its net-zero target date from 2050 to 2040. They expressed a desire to exit coal generation by 2027 and gas by 2040.

Per Starace, “We’re saying we’re going to be zero carbon, which means we’re not going to emit carbon.”

CO2.L – HANETF ETC SECURITIES PLC SPARK

Simon H
-
0


CO2.L Stock Predictions, Articles, and News

Ontario Teachers’ invest $250M in Carbon Credits Developer

Carbon Credits
-
0
Ontario Teachers’ invest $250M in Carbon Credits Developer

Ontario Teachers’ Pension Plan invests $250M in GreenCollar, a Sydney-based carbon credits developer.

KKR invested earlier to acquire a 49% stake of the company through a $100 million investment back in April 2020.

Ontario Teachers’ estimated $250M investment will give them 33% ownership.

Ontario Teachers’ and KKR have paired together before joining a $5.2 billion acquisition deal for Spark Infrastructure.

GreenCollar’s business model is simple: enter a partnership with land managers – and develop land-based environmental projects that cover carbon, water, nature, and plastics.

Many of their projects protect forests and restore the land. GreenCollar also helps land managers with outcomes, regulatory approvals, auditing, monitoring, and reports.

The generated carbon credits are then sold on behalf of land managers to first and secondary markets.

Between improved verification methods, high-quality offsets, and a global standard set through COP26, the carbon credit industry continues to expand.  Many experts expect the global carbon market to reach $100 billion by 2030.

With such success in Australia, it is only natural for GreenCollar to take the next step internationally. They have been looking at projects spanning West Africa, the Pacific, South-East Asia, and Southern Africa, including forest protection, plastic recovery, and cookstove projects.

GreenCollar started a little over ten years ago – founded by James Schultz and Lewis Tyndale.

It accounts for nearly half of the carbon market in Australia — delivering over $800 million in revenue to land managers through 200 projects spanning about 25 million acres.

Ontario Teachers’ is one of the world’s biggest pension funds, with Assets Under Management (AUM) of ~ $320 Billion.

Ontario Teachers’ have put 2025 and 2030 targets in place to ultimately achieve net-zero investment activity by 2050. This move is undoubtedly making good on their promise.

With this partnership, it appears that net-zero goals for Ontario Teachers’ are well within reach.

Could EU Carbon Hit €100 Before 2022?

Carbon Credits
-
0
Could EU Carbon Hit €100 Before 2022?

EU Carbon prices have been soaring since the COP26 conference. Earlier this week we saw the price go just over €90.

Energy Aspects analyst Trevor Sikorski thinks “its possible prices could head to €100 per ton to get all of the open interest on call options on that strike into the money.”

Lawson Steel, a Berenberg Analyst, expects the carbon contract to reach €110 euros per ton before 2022.

In a daily report, Barbara Lambrecht said, “The escalating situation on the European gas market is additionally driving [carbon] prices up now.”

Other factors could be the expiration of options and tension between Russia and the US.

The European Union’s emissions trading system (ETS) requires airlines, manufacturers, and power companies to pay for each ton of carbon emitted. The EU’s goal is to cut emissions by 55% from 1990 levels by 2030.

The carbon credit industry is booming. Verifications are becoming more accurate, and world leaders have agreed to implement a global standard.

Carbon credits are essentially used by companies to offset their emissions. For every carbon credit purchased, a single metric ton of carbon is offset through an environmental project – such as reforestation.

Experts say the global carbon market could reach $100 billion by 2030 (up from just $300 million in 2018). With the figures for EU carbon up 50% since November alone, expansion is possible.

In conjunction with new technology and increased regulation, carbon offsets have an essential role to play in the fight against climate change.

As these factors work together towards a net-zero future, economies can grow, and the atmosphere can improve – a global win.

Worlds First Physical Backed EU Carbon Allowance Fund grows to $100M AUM

Carbon Credits
-
0
Worlds First Physical Backed EU Carbon Allowance Fund grows to $100M AUM

Last month SparkChange launched the world’s first physically-backed EU Carbon Allowances (EUAs) exchange-traded product (ETP).

Since then it has grown to over $100M in Assets Under Management (AUM).

Investors have expressed their support behind its primary selling point: the physical replication of carbon credits.

Their product tracks the price of EU Carbon Allowances (EUAs), which offer investors the opportunity to purchase carbon credit offsets from the European Commission.

Because these EUAs are physically withheld, this stops industrial firms from buying them to pollute, which creates a positive environmental impact and puts mounting pressure on the emitters to look for greener solutions.

Since EUAs are withheld, companies are required to pay an additional cost for operations that are not eco-friendly (making pollution more expensive).

In the first month, the ETC’s launch more than 1 million carbon offset credits were withheld. During that time the price of EUAs increased by over €20 per ton.

The carbon credit industry has grown exponentially over the past year. Some experts project it to be valued at $100 billion by 2030 (up from just $300 million in 2018). The difference with these credits, however, is that they are futures-based.

Advanced technology, increased regulation, and the use of carbon offsets can all help in the fight against climate change. It will be interesting to see how SparkChange’s program inspires companies and investments moving forward.

Carbon Credits Offset Colombia’s Carbon-Neutral Oil

Carbon Credits
-
0
Carbon Credits Offset Colombia’s Carbon-Neutral Oil

Colombia – a crude oil producer – is looking for a way to sell carbon-neutral oil.

Ecopetrol SA – the state-controlled oil driller – will offer 1 million barrels of oil, with future emissions offset credits through renewable energy projects throughout Colombia.

The overall oil industry isn’t ready to set net-zero goals. But, through technological advances, they could get there in time.

The carbon credit industry continues to grow as companies recognize its potential to improve the environment and generate economic growth. In February, Japan’s Index Corp sold gas offset by carbon credits. Occidental Petroleum Corp did so this year as well.

While many critics have often accused polluters of using the carbon offset industry to keep operations business-as-usual, the carbon marketplace has changed drastically.

Verification methods have improved, and the quality of offset projects has also improved. Even leaders at COP26 agreed that a global standard for the carbon marketplace should be put in place, which many expect will strengthen the carbon credit industry even more.

Each carbon credit equals one metric ton of carbon. So, when a carbon credit is bought, one metric ton of carbon is offset by green projects, such as enhanced agricultural practices or reforestation.

Depending on how this sale in Colombia goes, it is expected that Ecopetrol, SA will offer such deals regularly.

Fossil fuels such as oil, natural gas, and coal currently account for 80% of the world’s energy – and 89% of CO2 emissions. As crude oil begins the journey towards neutrality and then net-zero, the world will be in a much better place.

Fungi – The Underground Carbon Capture Champion

Carbon Credits
-
0
Fungi – The Underground Carbon Capture Champion

Soil holds three times as much carbon as the atmosphere does. Some scientists have this figure at 5 billion metric tons of carbon, while others believe it is much more.

Fungi are an important part of an underground network of connections with plants roots. This network helps recycle nutrients and sequester CO2 in the soil.

Different compounds and fungi within soil capture carbon at different rates, figures are unclear (which is why this research is needed).

The trouble is, many fungal networks are at risk due to agriculture, deforestation, and urbanization.

To combat climate change, scientists are diving into the life of fungi – hoping fungal networks within the soil can capture CO2. Believe it or not, very little is known about fungi – which many have labeled the “Wood Wide Web.”

The Society for the Protection of Underground Networks (SPUN)  is leading this research initiative, including mapping and protecting fungal networks. Toby Kiers, Professor of Evolutionary Biology at VU University in Amsterdam, considers this the start of an “underground climate movement.”

Experts will collect 10,000 samples over 18 months to note global fungal hotspots. Machine learning will then determine the role fungi play in carbon capture.

According to Jane Goodall, Ph.D., DBE, and Founder of the Jane Goodall Institute and UN Messenger of Peace, “This is an extremely important conservation project.”

Professor Kiers told BBC News, “If we lose this system, this is going to have really serious consequences for our ability to fight climate change.”

Conservation efforts fail to protect 50% of the biodiversity located underground. This is a real problem since 25% of all species on the Earth are found within the soil.

Kiers says fungi are “the invisible ecosystem engineers, and their loss is totally undocumented.”

Climate change is at the forefront of world leader, business, and consumer minds. COP26 discussions, including efforts to standardize the global carbon market, have shown us that. SPUN’s findings will be integral to plans moving forward.

Per Goodall, “An understanding of underground fungal networks is essential to our efforts to protect the soil, on which life depends before it is too late.”

Additional research, protections, technology, investments, and the use of carbon offsets are all key to combating climate change.

With fungal networks currently stretching 280 quadrillion miles within our soil, SPUN’s plans couldn’t come at a better time.

1...119120121...137Page 120 of 137