This post attempts to see beyond the Climate change emotional ‘layer’ and tries identifying the basic mechanics at stake in Copenhagen talks. Will the tCO2e unit become the long awaited new ‘gold standard’?

One key point associated with a Cap & Trade scheme is that concerned corporations are actually in a position to trade their granted envelope of allowances on specialized climate exchanges (Bluenext or ECX). Obviously, this is what happens in most cases, leading to some bearish pressure on the ETS spot valuation, mostly at the beginning [...]