Platts launches No Avoided Deforestation differential for ACCUs

Platts, part of S&P Global Commodity Insights, has launched a new daily differential assessment for No Avoided Deforestation (No AD) ACCUs, effective Oct. 13.

The No AD differential represents the premium or discount for Generic ACCUs where there is a request that avoided deforestation credits be excluded, compared with the Platts Generic ACCUs assessment.

Australia's Clean Energy Regulator issues ACCUs to carbon project developers. Liable entities use ACCUs to offset their emissions, under Australia's Safeguard Mechanism program. ACCUs can also be used to offset additional emissions voluntarily.

Generic ACCUs represent credits issued for avoidance-based methods such as avoided deforestation, landfill and alternative waste treatment and energy efficiency methods.

Platts has observed a growing trend for Generic ACCUs trades that preclude delivery of Avoided Deforestation credits.

While new Avoided Deforestation projects are no longer eligible to register to issue new ACCUs, projects already registered will continue to receive ACCUs for their remaining crediting period. More information is available here: https://www.dcceew.gov.au/climate-change/emissions-reduction/emissions-reduction-fund/methods/avoided-deforestation-11

The daily No AD spot differential assessment captures competitively priced bids, offers and trades as reported in the Platts Market on Close assessment process from S&P Global, the brokered market, or on trading and exchange platforms.

The specifications for this assessment are in line with Platts existing ACCUs coverage as follows:

• Timestamp: 1930 Melbourne/Sydney/Canberra time
• Unit: Australian dollars per metric ton of carbon dioxide equivalent (A$/mtCO2e)
• Volume: 1,000 mtCO2e to 100,000 mtCO2e

Platts will publish this assessment according to the APAC Carbon publishing calendar. More details about this schedule can be found here: https://www.spglobal.com/commodityinsights/en/our-methodology/holiday

The No AD assessment will be published in Platts Carbon Markets Daily, on Platts Carbon Markets Alert and Energy Transition Alert, and in the Platts Pricing Database under market data category ACM and under the following codes:

Additional details on Platts existing ACCU assessments can be found here: https://www.spglobal.com/commodityinsights/PlattsContent/_assets/_files/en/our-methodology/methodology-specifications/method_carbon_credits.pdf

Please send any feedback or question on this launch to Platts_Carbon@spglobal.com, asiacompliancecarbon@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.