What are the Cantor Environmental Brokerage SO2 EA and NOx EA MPIs?
The Cantor Environmental Brokerage Market Price Indices (MPIs) are prices that
reflect current market conditions for Clean Air Act Title IV SO2, Ozone
Transport Commission and Section 126/NOx SIP Call emission allowances
(EAs). The MPI is an average of the following three numbers (where available)
(Note: fees and commissions are not factored into the MPI):
- Recent transaction price - prices from the most
recent transactions (sales, swaps, and options) either executed by Cantor Environmental Brokerage and/or reasonably believed by Cantor Environmental Brokerage to
have occurred. Also note that the MPI does not include transactions
that are reported as retirements or facility changes of ownership because
such transactions may not be reflective of current market conditions.
- Lowest offer price - lowest price, reported to Cantor Environmental Brokerage , at which a seller is willing to sell.
- Highest bid price - highest price, reported to Cantor Environmental Brokerage , at which a buyer is willing to buy.
Note:
All information contained here is obtained by Cantor Environmental Brokerage from sources believed to be accurate and reliable. However,
because of the possibility of human and mechanical errors, as well
as other factors, such information is provided "as is"
without warranty of any kind and Cantor Environmental Brokerage , in particular,
makes no representation or warranty as to the accuracy, timeliness,
or completeness of this information. Under no circumstance shall
Cantor Environmental Brokerage have any liability to any person or entity
for (a) any loss or damage in whole or in part caused by, resulting
from, or relating to any error (negligent or otherwise) or other
circumstance involved in procuring, collecting, compiling interpreting,
analyzing, editing, transcribing, transmitting, communicating, or
delivering any such information, or (b) any direct, indirect, special,
consequential, or incidental damages whatsoever even if Cantor Environmental Brokerage is advised in advance of the possibility of such damages, resulting
from the use of, or inability to use, any such information. The
data and information contained herein are, and must be construed
solely as statements of opinions and not statements of fact or recommendations
to purchase, sell, or hold SO2 or NOx EAs. All prices are merely
indications of interest, do not represent firm bids and offers,
and their terms are subject to change without notice. NOWARRANTY,
EXPRESS OR IMPLIED, AS TO THE ACCURACY, TIMELINESS, COMPLETENESS,
MERCHANTABILITY, OR FITNESS FOR ANY PARTICULAR PURPOSE OF ANY SUCH
DATA OR INFORMATION OROTHER OPINION IS GIVEN OR MADE BY Cantor Environmental Brokerage IN ANY FORM OR MANNER. |
For
information on trading SCAQMD RTCs and/or ERCs, SJVAPCD and BAAQMD
ERCs, Illinois ATUs, ERCs, DERs, or Sewerage Facilities Charge Credits
please visit www.emissionstrading.com
or call 1-800-228-2955 ext. 1, 2, 4, 6, 7, 8, or 9. For
information on trading HGA NOx Allowances, call 800-228-2955 ext.
13 or 14. For information on trading NOx OTC Allowances, Section
126 Allowances, and SO2 Allowances call (203) 662-3638 or 800-228-2955
ext. 6 or 12. For information regarding Greenhouse Gas Credits
visit www.CO2e.com, or call 800-228-2955 ext. 10. |
If you would like to receive this bulletin as an e-mail attachment in
Adobe format please fax this to 415-296-9582 with your e-mail address
listed below, or send an email to loshiro@cantor.com.
Don’t want to get this anymore? No problem! Tell us by checking
the box below and faxing this back to 415-296-9582:
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Cantor Environmental Brokerage Market Price Index:
$131.06
(Call 203-662-3638 for
description)
|
Bids * |
|
Offers * |
|
Trades |
MPI |
Price/Volume |
2,500 |
@ |
$130.00
|
|
2,500 |
@ |
$133.00
|
|
Not
listed |
|
|
|
|
$130.00
|
|
|
|
$133.00
|
|
$130.20
|
$131.06
|
Bid and offer for vintage
2002 allowances.
Immediate
Settlement:
|
|
|
|
Best
Prices ($/Allowance) |
|
Maximum
Volume |
|
Term |
|
Vintage |
|
|
|
Bid to Buy |
Offer to Sell |
|
Bid |
|
Offered |
|
|
1 |
Year |
|
2002 |
|
|
|
$130.00
|
$133.00
|
|
2,500 |
|
2,500 |
|
Allowances |
1 |
Year |
|
2003 |
|
|
|
$129.67
|
|
|
2,500 |
|
|
|
Allowances |
1 |
Year |
|
2004 |
|
|
|
$128.39
|
|
|
2,500 |
|
|
|
Allowances |
1 |
Year |
|
2005 |
|
|
|
$127.45
|
|
|
2,500 |
|
|
|
Allowances |
1 |
Year |
|
2006 |
|
|
|
$122.06
|
|
|
2,500 |
|
|
|
Allowances |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Swaps:
Swap
Rates against vintage 2002 allowances |
|
2003 |
2004 |
2005 |
2006 |
Offer |
0.25% |
1.25% |
2.00% |
6.50% |
Ratios for base years
other than 2002 are available upon request |
SO2 EA Market Beat --The Cantor Environmental Brokerage SO2 EA Market
Price Index decreased by 2.78% this month from $134.81 in October 2002
to $131.06 in November 2002.
|
|
BEST BIDS TO BUY |
1999 |
50 tons |
$400/ton |
2000 |
100 tons |
$600/ton |
2001 or 2002 |
100 tons |
$750/ton |
2003 |
50 tons |
$4,800/ton |
2004 |
50 tons |
not listed |
2005 |
50 tons |
$3,950/ton |
2004-2005 |
50 tons /yr |
not listed |
|
BEST OFFERS TO SELL |
1999 |
75 tons |
@ $500/ton |
2001 or 2002 |
50 tons |
@ $825/ton |
2003 |
50 tons |
@ $5,000/ton |
2004 |
50 tons |
@ not listed |
2005 |
50 tons |
@ $4,150/ton |
2004-2005 |
50 tons /yr |
@ not listed |
|
|
V03 for $4,950/ton |
V 02 for $775/ton |
V04 for $4,300/ton |
V04 for $4,950/ton |
V99 for $475/ton |
V02 for $775/ton x2 |
V02 for $595/ton |
V04 for $4,700/ton |
V99 for $470/ton |
V02 for $750/ton |
V03 for $4,800/ton |
V00 for $625/ton |
V03/04 for $4,950/ton |
V02 for $765/ton |
V99-02 for $650/ton |
V02 for $700/ton |
V02 for $750/ton |
V02 for $800/ton |
V04 for $4,850/ton |
V04 for $4,600/ton |
V05 for $4,100/ton |
V04 for $4,875/ton |
310 V02 for 50 V03 |
V00 for $625/ton x 2 |
V02 for $725/ton |
V04 for $4,550/ton |
V03 for $4,900/ton |
V04/05 for $4,475/ton |
V04 for $4,500/ton |
V03 for $4,850/ton |
V99 for $425/ton |
V04/05 for $4,200/ton |
V03 for $4,750/ton x 2 |
V01 for $690/ton |
V02 for $765/ton x2 |
V00 for $620/ton |
V02 for $690/ton |
V01 for $775/ton |
V03 for $4,800/ton |
V02 for $750/ton |
V01 for $765/ton |
V04 for $4,350/ton x 2 |
V04-06 for $3900/ton |
V03/04 spread $150/ton |
537 V00 for 419 V02 |
V04 for $4,700/ton |
V02 for $800/ton x 2 |
V03 for $4,900/ton x 4 |
V04/05 for $4,300/ton |
V01 for $800/ton x 2 |
V03 for $4,950/ton |
|
|
1999 |
$453/ton |
+ $29 |
2000 |
$633/ton |
+ $33 |
2001 |
$787/ton |
+ $98 |
2002 |
$787/ton |
+ $57 |
2003 |
$4,885/ton |
- $120 |
2004 |
$4,400/ton |
- $516 |
2003-2004 |
$4,767/ton |
+ $183 |
2004-2006 |
$3,900/ton |
|
2004-2005 |
$4,308/ton |
- $270 |
|
As always Cantor Environmental Brokerage does
not trade for its own account. All allowances purchased in the
auction or traded in the open market are for our clients. It is Cantor Environmental Brokerage s policy to keep the identity of our clients and their
positions in the market in strict confidence.
Preliminary Actual 2002 NOx Emissions for the OTC - The
US EPA has released preliminary actual 2002 ozone season NOx emissions
data. This preliminary data indicates that approximately 193,006
tons of NOx were emitted by OTC NOx Budget Sources. Historical actual
numbers have been: (a) ozone season 1999 -- 174,843 tons; (b) ozone
season 2000 -- 174,492 tons; and (c) ozone season 2001 -- 183,283
tons. Approximately 216,551 vintage 2002 tons were allocated, and
83,778 vintage 1999-2001 tons were left unused after the 2001 reconciliation.
Final actual 2002 NOx emissions numbers still need to be finalized
by US EPA. Regardless, please note that all unused vintage 1999
NOx Allowances will not carry forward after 2002. Also, for Vintages
2000-2002 NOx Allowances and their carry over into 2003, only a
fraction of the tons will be reissued as compliance supplement pool
("CSP") tons. The fractional determinate will vary by
state, and all OTC Budget Sources should become familiar with and
understand this issue! Please feel free to call us, or Ms. Paula
Branch (202/564-9168) or Ms. Mary Shellabarger (202/564-9188) at
US EPA.
Watch Those 1999-2002 NOx Allowances - Are you aware that
not all OTC states will allow vintage 1999 NOx Allowances to carry
forward into 2003 and that the same may hold true for certain vintage
2000 NOx Allowances (depending upon your state)? Please make sure
to carefully consider this in your decision-making and reconciliation.
Also, please note that tons designated for use on a reconciliation
report form will not necessarily be used for compliance. The most
recent vintage (e.g., 2002) will be used from compliance accounts
before older vintages (e.g., 1999) are used -- despite designation
on reconciliation report forms. You must consider making use of
an overdraft compliance account to carry out a use strategy (e.g.,
vintage 1999 taken before vintage 2002 for compliance). More information
is available from US EPA by calling Ms. Paula Branch (202/564-9168)
or Ms. Mary Shellabarger (202/564-9188).
SO2 Has Been a Bit Slow - The SO2 market has seen smaller
volumes trading in recent months as people begin to focus on NOx
reconciliation (unlike NOx, 2002 SO2 Allowance reconciliation begins
after December 31, 2002). Prices generally varied within a $10/ton
trading range.
|
Greenhouse Gas Reductions Portfolio: CO2e.com,
Cantor Environmental Brokerage ' sister company, assists companies to hedge
their greenhouse gas exposure and potential limitations on their
ability to emit greenhouse gases. CO2e.com experts provide risk
managers with options to create a diverse portfolio of greenhouse
gas reductions and offsets. Transactions include simple purchases
and sales to structured options transactions. CO2e.com currently
represents a diverse family of reductions including: (a) Renewable
energy, energy efficiency and land-use projects expected to be
eligible for credit under the Clean Development Mechanism in South
and Central America, Asia, and Africa; (b) Renewable energy, energy
efficiency, methane capture and recovery, and land-use projects
in Australia, Canada, and Europe; and (c) Renewable energy, land-use,
and methane capture and recovery projects in the United States.
Prices vary but range from $1.00 - $2.00 per ton CO2 equivalent
and increase up to $8.00 depending on vintage year, risk guarantees,
volume, and contract structure. Options prices are according to
structure. For details call Corinne Boone at 416-350-2177.
|
To
Reach Cantor Environmental Brokerage Staff Call 800-228-2955 or Dial Direct:
Josh
Margolis |
San
Francisco |
RTCs/ERCs/DERs
|
800-228-2955
ext 1 |
Andy
Kruger |
Darien,
CT |
ERCs/NOx
& SO2 EAs/DERs |
800-228-2955
ext 6 |
Laurie
Gage |
New
Jersey |
NOx
&SO2 EAs/RTCs/ERCs/DERs |
800-228-2955
ext 7 |
Robin Langdon |
San
Francisco |
RTCs/ERCs/DERs |
800-228-2955
ext 2 |
Christine
Grandstaff |
Los
Angeles |
RTCs/ERCs/DERs |
800-228-2955
ext 4 |
Patrick
Bartosh |
Houston |
NOx
EAs/ERCs/DERs |
800-228-2955
ext 13/14 |
Mike
Hammond |
San
Francisco |
RTCs/ERCs/DERs |
800-228-2955
ext 9 |
Lauren
Kisling |
Darien,
CT |
ERCs/NOx
& SO2 EAs/DERs |
800-228-2955
ext 6 |
Alexa
Paton |
Darien,
CT |
ERCs/NOx
& SO2 EAs/DERs |
800-228-2955
ext 6 |
Lori
Oshiro |
San
Francisco |
West
Coast Office Manager |
800-228-2955
ext 5 |
Jenny
Jo |
San
Francisco |
West
Coast Administrative Assist. |
800-228-2955
ext 3 |
|