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Offset Scorecard: 56,260 credits issued to 2 livestock projects; Quebec issues third batch of offsets

December 13, 2015 by Rohan Nongpiur

CaliforniaCarbon.info, December 14, 2015: The recent California carbon offset (CCO) issuance announcement saw six reporting periods from two early action projects awarded 56,260 CCOs, while ARB also confirmed that a further 107,542 CCOs from 1 ozone depleting substances (ODS) project achieved shortened invalidation liability. This takes the total CCO and CCO-3 count to 34.43 million and 4.89 million respectively.

56,260 CCOs credited to 2 livestock projects

Livestock projects witnessed the entirety of the recent issuance announcement as 2 early action projects saw a combined 56,260 CCOs issued. ClimeCo Corporation’s Sunnyside Farms (CAR606) project will be receiving a total of 34,436 CCOs across three reporting periods spanning from January 2012 to December 2014. SES verified the project for registry issuance, and the project was re-listed under the ARB protocol as CAR1138 in February 2015. ClimeCo Corporation who recently merged with Environmental Credit Corp, now have all of their 14 projects (38 reporting periods) credited with CCOs under early action. ClimeCo/ECC have managed to gain a total of 840,798 CCOs under early action, covering 11 livestock and 3 ODS projects. Under ARB compliance, ClimeCo/ECC have managed to gain 870,388 CCOs across 8 projects, with 5 projects still awaiting CCO issuances.

Additionally, Aurora Ridge (CAR606), a project in which Aurora Ridge Dairy were listed as the offset project operators (OPOs), saw 21,824 CCOs awarded to three reporting periods spanning from August 2009 to December 2011. First Environment served as the early action offset program (EAOP) verifiers and the project was also re-listed under the ARB protocol as CAR1152 in late February 2015. CAR607 has a further 20,818 CRTs from 2012 and 2013 reporting periods awaiting CCO conversion.

CCO-3 conversion for EOS Climate ODS project

107,542 CCOs associated with the EOS ARB ODS 2013-1 (CAR992) project, also managed to attain shortened invalidation liability periods by virtue of a second regulatory verification.  EOS Climate’s CAR992 will now see it’s credits gain immunity in October 2016. With 2.25 million CCO-3s spread across 9 projects and 30 reporting periods, EOS Climate have now contributed 46% of the CCO-3s in the market.

Quebec issues third batch of offsets

Meanwhile, Quebec’s ministère du Développement durable, de l’Environnement et de la Lutte contre les changements climatiques (MDDELCC) has handed out its third batch of compliance-grade carbon offsets for its cap-and-trade program, according to a recent update on its website. 4,946 offset credits were issued on December 9 to a landfill methane destruction project, developed by WSP Canada in Mont-Laurier. All offsets requested by the developer have been granted, while 149 credits (3%) have been transferred to the ministry’s environmental integrity account. WSP Canada saw 11,205 offset credits issued on October 28 to a similar landfill methane destruction project in Rivier-Rouge, while it also has another landfill methane destruction project listed with MDDELCC.  Including the 161,510 offsets issued earlier this year under the ODS protocol, MDDELCC has now issued a total of 177,661 offset credits. A total of 3 landfill methane destruction projects and 1 ODS project now await issuances.

Pipeline update

The latest CCO issuances see the early action credit pipeline dip to 9.31 million, while the ROC pipeline remains at 1.39 million as no credits were issued recently to ARB compliance offset projects.

Market update

Last week, prices for CCOs traded in the secondary market remained relatively stable, after earlier weeks of sustained upward movement. According to averaged bid and ask quotes from various brokerages, the Golden dipped slightly from $12.21 to $12.17, while the CCO-3 also dipped a penny from $11.61 to $11.60, Friday to Friday. Meanwhile, the CCO-8 gained 2 cents in moving from $11.23 to $11.25 over the same period.

Next issuance

ARB will next announce CCO issuances in two weeks’ time on Wednesday, December 23, at 12pm PT.

Rohan Nongpiur (rohan@californiacarbon.info)

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