Carbon Trading, Risk and Strategy

A practical approach to understanding and enhancing your carbon-adjusted energy investment decisions. Learn to tailor a strategy for your own company and take advantage of this fast-growing emissions market.

Course Highlights

The carbon market fundamentals

How they influence emissions trading options

The optimal emissions trading strategy

How carbon impacts a company's asset value and credit rating

How an emissions strategy optimises the rating

How project-based credits can be generated

For details of the course trainer, please download the course brochure

Booking Information

Dates	Prices	Book This Course	Discount
19 - 20 Apr 2010	£ 1899		-
01 - 02 Nov 2010	£ 1899		-

Course Programme

Day 1

Background and Framework of Emissions Trading

The climate issue and the climate problem

Introduction on The Kyoto Protocol, Kyoto Market and the EU Emissions Trading System

Future developments Second ETS Allocation Plan (2008–2012)

International agreements (‘Post 2012’ discussions)

Most important legal aspects of the Kyoto Protocol and the EU Emissions Trading System (ETS)

Allocation of CO2 allowances

Covered sectors, companies

Internal market

Cross border aspects

Background and Framework of Credits Trading

Project based, tradable credits

Generated through the Kyoto Mechanisms

Joint implementation (Emissions Reduction Units, ERUs)

Clean Development Mechanism (Certified Emission Reductions (CERs) in developing countries)

The procedures, requirements,monitoring, verification

The linkage with the ETS

Trading and Transfer

Legal framework: object of trading and master or standard agreements (IETA, EFET, ISDA)

Types of trade (OTC, exchange market)

Products

Spot

Futures

Other derivatives

Clean Dark Spread

Clean Spark Spread

Linkage between ET systems

Emissions Registries and Transaction Logs

Carbon Market Specialties

The role of Carbon Capture and Storage (CCS) on the carbon market (injecting CO2 in depleted gas or oil fields or coal bed)

Forestry and avoided tropical deforestation as offset under Kyoto Protocol

Day 2

The Carbon Market in Practice

Participants and roles:Overview of different roles and actors on the carbon market

How did emissions trading work in 2007; outlook into the future? Prices,Volumes

Potential Roles for Companies on the Carbon Market

Emissions Trading Strategies (on-site, off-site, multisite; carbon risk strategies, spot sales and futures purchase; pooling)

Develop Carbon Strategy

How to prepare your organisation

Internal reductions

Buy and sell allowances

Make JI/CDM investments

Abatement curves

Decide what reduction opportunities exist within your company

What are abatement curves

How to construct abatement curves

Including lead times in abatement curves

Analysis

Compare internal reduction costs to current allowance market price

Generate scenarios to analyse impact of futures emission price development

Incorporating energy price effects into future business scenarios

Investment,Trading and Risk Management Strategy

Investing in internal reductions or external trading

How to develop an investment strategy based on scenario analysis

Tradable instruments and contract structures

Type of risks

Risk mitigation

How to develop an emissions risk management strategy