Open interest for the CCFE RGGI products has reached a record level of 5,860,000 million short tons CO2. CCFE has traded 12,485 RGGI futures and options contracts, representing 12,485,000 RGGI allowances with trades occurring every business day since its first launched on August 15, 2008. RGGI is a CO² cap-and-trade emissions trading program comprised of ten New England and Mid-Atlantic States that will commence in 2009. RGGI is the first government-mandated CO² emissions trading program in the United States.

Open interest for CFI futures and options contracts combined has risen from 1,689 open contracts at the start of 2008 to a record high of 11,584 open contracts to date. The CFI futures and options contracts are based on the Chicago Climate Exchange’s voluntary, legally binding greenhouse gas reduction and trading program, which is comprised of over 400 members globally.

These contracts have seen rapid growth this year as state, regional and federal legislative activity regarding carbon cap-and-trade continues to increase.

The Exchange was jointly established by CNPC Assets Management Co., an affiliate of China National Petroleum Corp., Tianjin Property Rights Exchange and the Chicago Climate Exchange, each taking 53 percent, 22 percent and 25 percent stake in the exchange. The Chicago Climate Exchange, which has been trading greenhouse gas emission allowances since 2003, is the world’s first emission trading exchange under a voluntary but legal binding scheme.

The Exchange will principally trade sulfur dioxide emission permits and chemical oxygen demand permits at initial stage, said the Chairman Dai Xiansheng. 

This is the first emission permit trading exchange in China established as an integrate part of trial reform of Tianjin Binhai New Area. Tianjin Binhai New Area blazes the way to launch energy conservation and environmental protection management system reform, of which one of the key parts is to strengthen control pollutant emission and set up clean development mechanism and emission trading exchange.

To better manage the Exchange and endure its healthy growth, Tianjin municipal government will work out specific administration rules in line with related supervision rules as well as set up a supervision joint meeting system.

The members of Tianjin Emission Trading Exchange can be divided into three types. One is emission members that are bounded to certain energy conservation and emission reduction requirements.

Another group of members are liquidity providers that are free of the alleged requirements and just provide liquidity on Tianjin Emission Trading Exchange.

Another group of members are bidding members, namely institutions or individuals that independently participate in electronic bidding for emission permits.

CNPC, the country’s largest oil producer, Tianjin Economic Development Area, the Industrial and Commercial Bank of China, China Construction Bank, Bohai Bank, Tianjin TEDA Group, the Bureau of Comprehensive Development Ministry of Water Resources, PetroChina International Co., Northern International Trust & Investment Co., Tianjin Sino-Singapore Ecological City Project Investment and Development Co., First Capital Futures Co., Binhai Venture Capital Investment Management Co., Tianjin Property Right Investment Co. and Arreon Carbon have become original members of Tianjin Comprehensive Emission Trading Exchange.

The Exchange will set up some specific commissions later in line with its development as well as self-disciplined member unions.

(USD 1 = CNY 6.81)

New Website Takes the Guesswork out of Identifying and Purchasing Carbon Offsets in Growing Voluntary Market

WASHINGTON, DC - September 10, 2008 - To help bring transparency to the fast-growing voluntary carbon offset market to combat climate change, Environmental Defense Fund today announced the launch of CarbonOffsetList.org, a first-of-its-kind online resource that will help businesses and consumers identify and purchase carbon offsets that represent real reductions in greenhouse gas emissions. Carbon offsets allow buyers to offset, or neutralize, carbon dioxide and other greenhouse gases produced from their own activities by funding projects that reduce greenhouse gas emissions elsewhere.

Developed through a rigorous review process in collaboration with a committee of external experts in the fields of science and policy, the website identifies 11 pre-screened, independently verified offset projects that meet Environmental Defense Fund’s criteria for high-quality carbon offsets. Environmental Defense Fund’s evaluation focused on the environmental integrity of the projects and whether projects could show verifiable and measurable proof of reductions in greenhouse gas emissions. The approach focused on finding high-quality emissions reductions regardless of project type, technology or supplier.

“Companies increasingly see the value in incorporating carbon offsets into their overall climate action strategies, but until now, buyers had to do their own homework to determine which projects were most credible,” said Thomas Murray, managing director of corporate partnerships for Environmental Defense Fund. “CarbonOffsetList.org eliminates the guesswork and offers buyers direct access to a list of thoroughly vetted projects that meet Environmental Defense Fund’s high-quality criteria.”

The U.S. Environmental Protection Agency (EPA) estimates that in the near term (through 2025) nearly one-third of the needed U.S. emissions reductions could be met by offsets. Voluntary action by businesses and individuals to reduce their emissions through on-site reductions and carbon offsets plays an important role. By connecting offset purchasers to high-quality projects, CarbonOffsetList.org will help ensure that money spent on offsets makes a real contribution to combat climate change.

“While most experts are convinced that there is a role for carbon offsets, the subject often prompts more questions than answers,” said Bill Chameides, dean of Duke University’s Nicholas School of the
Environment and member of the independent expert review committee. “Environmental Defense Fund’s CarbonOffsetList.org should give purchasers confidence that the offsets they buy result in real greenhouse gas reductions to help meet their environmental goals.”

In response to numerous inquiries from companies seeking guidance on using carbon offsets as part of a comprehensive sustainability strategy, Environmental Defense Fund developed the current list through a request-for-proposal and project-by-project review process. Environmental Defense Fund received more than 70 project proposals from dozens of suppliers, with a wide ranging diversity of project types and approaches. In order to be considered for inclusion, providers submitted project documentation for review, including project design documents and third-party verification reports.

CarbonOffsetList.org features 11 emissions reduction projects ranging from capturing and destroying methane from landfills and dairy farms to reducing emissions at truck stops across the country. They are: