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Offset Scorecard: Offset credits hit a low this year

October 24, 2019 by Lonava Tahreen

October’s second offset issuance secured around 88.9k credits this week. There were a total of 5 projects, out of which four were Livestock projects and only one Forestry project across 7 reporting periods.

ARBOCs issued

This month’s total has touched just over 450k, which is a low number seen over the last two years where roughly total issuances in a month have not gone below 500k. With the compliance surrender right around the corner, entities are eager to know the offsets in the pool being issued and much anticipation lies in the ROC credits awaiting issuances as the year ends.

Livestock projects lead the leaderboard securing over 90% of ARBOCs in this issuance with 3 new projects gaining credits for the first time. Three of California Bioenergy’s new project’s lead the leaderboard with its CE&S Dairy(CAR1317) project which gained 28k credits, West Star North Dairy (CAR1315) which scored the second highest this time taking home 25k credits and Lakeview Farms Dairy (CAR1316) gaining 17k. Camco Offsets’ Woodcrest Dairy Digester (CAR1246) gained about 10k credits. Compatible Lands Foundation’s Camp Shelby Forest Carbon Project(ACR288) was the only forestry project this time and it managed to gain offset credits across three of its reporting periods. The total generated offsets from this project has been about 30k so far with the first reporting period gaining usable credits in November, 2017.

Leaderboard

There was a reduced invalidation seen this time across one reporting period, where Woodcrest Dairy Digester (CAR1246) which secured ARBOCs had its second reporting period converting to 11,920 CCO-3s.

Pipeline update

164 million CCOs have been issued till date. There is much anticipation about the upcoming Annual Compliance surrender event scheduled on the 1st of next month. The total WCI offsets available for compliance stands over 60 million with the ROC backlog still at over 25 million. November calls for a busy time with Auction results slated to be released later the same month. CaliforniaCarbon.info would be presenting a deep statistical breakdown of the Auctions and would be soon presenting a Webinar on a roundup of the market on the 7th of November, 2019.

Click here to view the historical price trends of CCO-3s, CCO-0s and CCO-8s.

Next issuance

ARB will next announce CCO issuances on Wednesday November 13, 2019.

Analyst contact:

Lonava Tahreen (lonava.tahreen@californiacarbon.info)

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