Australia frees up carbon credits for sale to private market
MELBOURNE : Australia on Friday cleared the way for millions of carbon credits to be sold to the private market instead of to the government, allowing developers of carbon abatement projects to potentially earn more for their emissions reductions.
The surprise change in policy immediately hit the carbon market, with the price of Australian Carbon Credit Units (ACCUs) dropping 24per cent on the prospect of a sharp increase in the supply of credits, research firm RepuTex said.
The government is now giving carbon abatement project developers, such as vegetation projects, the option of selling the ACCUs generated by their projects to the private market instead of selling them to Australia's Emissions Reduction Fund.
"This will allow projects to take advantage of higher market prices over ti...