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Carbon offset prices could double by 2030, unless companies do the dirty work

13 April 2021 The Australian carbon market is undergoing a “fundamental repricing” on the prospect of a national net-zero emissions goal; Prices for Australian Carbon Credit Units (ACCUs) could more than double by 2030, rising to a range of $20-45/t While a net-zero target will be a supportive factor for local prices, offsets are unlikely to be used as a permanent replacement for emissions reductions. This could result in more muted demand, and prices at the lower end of the anticipated range. In our latest Carbon Market Outlook, last week, we present our expectations for Australian Carbon Credit Unit (ACCU) prices, supply, and demand from 2021-30, including scenarios for the adoption of a net-zero emissions target for industry.

Australia s carbon price set to double, perhaps even without federal policy

7 April 2021 The cost of Australian carbon credits could more than double over the next decade, as momentum towards the goal of net zero prompts the market to put a higher value on decarbonisation, new research by RepuTex finds. At the end of March, the spot price of a Australian Carbon Credit Unit (ACCUs) was just under $18.40, which was already up 11 per cent on the January price. ACCUS are credits issued by the Clean Energy Regulator to carbon abatement projects that represent 1 tonne of carbon abatement. Carbon market research firm RepuTex predicts that by 2030 ACCUs will be trading in the region of $20 to $45. It said this could happen as a result of increased government pressure, such as a ratcheting up of the currently notoriously loose “safeguard mechanism”.

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