Nice...25 Sep 2013 12:22
According to Bloomberg Businessweek, at this latest auction there were more bids for the 2016 permits than were made available, the first time that’s occurred for years other than 2013:
California’s Air Resources Board sold all 9.56 million permits for 2016 at $11.10 each during an Aug. 16 auction, 39 cents above the clearing price of all previous sales, the agency said in a report on its website today… The board received 1.69 bids for every allowance offered, marking the first time that demand for advance permits exceeded supply since the state began capping emissions last year, creating the world’s second-largest carbon market.
Futures contracts for the 2016 permits also hit a record 1.83 million on the IntercontinentalExchange. Analysts took the auction results and the futures trading as a sign of AB 32′s strength: “There is now conviction that this program will be here for a while,” Lenny Hochschild, managing director at the White Plains, New York-based environmental broker Evolution Markets, said.