Prices for generic Australian Carbon Credit Units have rallied in response to the release of the government’s Safeguard Mechanism discussion paper, rising 6% to $28/t on Thursday. The upswing puts an end to recent declines that have seen prices fall 26% from $35/t at the start of July to a calendar year low of $26/t on Tuesday, driven by increasing uncertainty around the impending Chubb review and the growing availability of ACCUs under the ‘ERF exit’ program. ACCU prices remain stratified, with large premiums for nature-based offsets suggesting that voluntary buyers continue to make purchasing decisions based on the perceived benefit of each sub-type and individual project. However, as the ALP’s proposed reform for the Safeguard Mechanism comes into focus, opportunistic buyers are beginning to focus on generic ACCUs ahead of an expected increase in compliance buying demand.
Prices rally for generic ACCUs
After a continuous downward trend in recent weeks, spot prices for generic ACCUs (landfill gas, waste) in the brokered market have risen in recent days, growing from a low of $26/t on the 16thof August to $28/t on the 18th. Prices hit the $26.00 low on comparatively large volumes, with 150,000 ACCUs exchanged in a
Unlock our award-winning research insights
Request access to learn more about our research services, or click here to register for free access to our articles and price information.