Platts clarifies methodology for California Carbon Offset assessments

Platts, part of S&P Global Energy, would like to clarify the methodology for its US Compliance California Carbon Offset (CCO) price assessments.

Platts coverage of CCOs comprises three price assessments for Current Month, Next Month and Next December strips.

Platts clarifies that the assessments reflect CCOs with a zero-invalidation period and without Direct Environmental Benefits in the State (DEBS).

A DEBS offset project must result in the reduction or avoidance of emissions of any air pollutant, or the reduction or avoidance of any pollutant that can impact state waters.

CCOs are subject to invalidation risk periods of three or eight years, depending on third-party monitoring results and credit revocation risk. Once a project has completed its invalidation period, the associated project or credit is no longer at risk of invalidation, effectively reducing its invalidation period to zero.

The above clarification applies to the following assessment and its associated monthly averages:

Please send all comments, feedback and questions to platts_carbon@spglobal.com and pricegroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available to the public upon request.