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OPIS Launches Inaugural Asia-Pacific Carbon Report

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OPIS, a Dow Jones company, launches the APAC Carbon Market Report to offer daily price transparency in Australia, China, New Zealand, and South Korea. The report provides insights for emissions trading schemes, data visualizations, breaking news coverage, and market analysis, catering to compliance entities, traders, researchers, and consultants. Regional disparities in carbon pricing are highlighted, with New Zealand Units averaging NZ$70.60 per metric ton, Generic Australian Carbon Credit Units at AU$35.60, and Korean Allowance Units at ₩9,072.
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An analysis of the newly launched APAC Carbon Market Report reveals a significant development in the carbon trading sector, particularly within the Asia-Pacific region. The introduction of daily price transparency is a pivotal step in enhancing the efficiency of these markets. Transparent pricing mechanisms are fundamental in markets where environmental externalities are priced, such as carbon markets. They allow for better risk assessment and informed decision-making by stakeholders, which is essential for the proper functioning of emissions trading schemes (ETS).

The disparity in carbon pricing, as highlighted by the differences in the cost of carbon credits across Australia, New Zealand and South Korea, indicates the heterogeneity of the regional carbon markets. This variation can be attributed to factors such as the maturity of the respective ETS, local supply and demand dynamics and the stringency of regional climate policies. For businesses and investors, these price signals are important for strategic planning, especially for those with a carbon-intensive portfolio or those looking to invest in cleaner technologies.

Long-term, the standardization of reporting and increased transparency may lead to more liquid and robust carbon markets in the APAC region. This could potentially attract more participants and foster a more competitive environment, which is beneficial for the market's overall health and efficiency. However, the variability in prices also suggests that there might be challenges in integrating these markets or linking them with other international carbon markets, which is often considered a step towards global carbon pricing.

The launch of OPIS's APAC Carbon Market Report is a strategic move that caters to the growing demand for specialized environmental market data. As carbon trading becomes an integral part of corporate sustainability strategies, the need for such data services is expected to grow. This report could position OPIS as a go-to source for carbon market intelligence in the Asia-Pacific region, potentially increasing its market share and strengthening its brand among key players in the carbon trading market.

From an investor's perspective, the availability of such detailed market analysis and daily price assessments can enhance the valuation models of companies involved in carbon trading or those affected by carbon pricing policies. This can lead to more accurate pricing of stocks and potentially reduce the volatility associated with regulatory uncertainties. For OPIS, as part of Dow Jones Energy, this expansion into APAC markets could drive revenue growth and diversify its customer base, which is positive for its parent company's stock performance.

However, the success of this report and its impact on the market will depend on the accuracy and reliability of the data provided. If OPIS manages to establish itself as a credible source, it could become an indispensable tool for market participants, but any discrepancies or inaccuracies could damage its reputation and have negative implications for its business.

New report offers daily price transparency in Australia, China, New Zealand and South Korea

SINGAPORE, March 25, 2024 /PRNewswire/ -- OPIS, a Dow Jones company and a leading provider of environmental and energy markets data, marks a decade of trusted carbon market price assessments with the launch of its inaugural APAC Carbon Market Report. 

Environmental programs in the Asia-Pacific region have ignited demand for carbon credits as countries increasingly implement decarbonization market initiatives to meet climate targets. These markets are diverse in their scope and ambition, which presents opportunities and risks for carbon market participants across the region.

This new APAC Carbon Market Report provides daily price transparency and insights for emissions trading schemes in Australia, China, New Zealand and South Korea, serving as an essential resource for compliance entities, jurisdictional agencies, traders, researchers, market analysts, brokers and consultants. Other features of the report include data visualizations, breaking news coverage, market analysis and a calendar of events featuring upcoming policy updates, market events and conferences.

"We are delighted to extend our carbon market coverage to the Asia-Pacific region to help market participants understand and navigate carbon trading dynamics," said Lisa Street, executive director of climate and carbon markets at OPIS. "Initiatives that put a price on carbon are proven mechanisms for achieving decarbonization objectives and reaching climate policy goals. Through reliable price reporting and insightful news, OPIS ensures that stakeholders are always well-informed, enabling them to make decisions backed by data that captures the intricacies of each market."

From Australia's Safeguard Mechanism overhaul to anticipated reforms in the South Korea Emissions Trading Scheme, policy shifts are reshaping the carbon pricing landscape. OPIS assessments reveal this regional disparity, with New Zealand Units averaging NZ$70.60 per metric ton (US$43.60/mt) in February 2024–significantly higher than Generic Australian Carbon Credit Units at AU$35.60 (US$23.20/mt) and Korean Allowance Units at ₩9,072 (US$6.80/mt).

OPIS is part of Dow Jones Energy, which provides market-leading news, research, analysis, price-benchmarking and forecasting capabilities to help customers navigate the global energy transition. The APAC Carbon Market Report complements OPIS's suite of existing carbon price coverage for North America compliance markets and global voluntary markets that address the urgent global need to reduce carbon emissions. OPIS has provided daily price transparency for the compliance carbon markets since 2014 and the global voluntary carbon markets since 2020.

To learn more about the APAC Carbon Market Report, please visit opisnet.com/apac-carbon.

About OPIS

OPIS, a Dow Jones company, provides accurate pricing, real-time news and expert analysis across the global fuel supply chain, including the Spot, Wholesale Rack and Retail markets. OPIS and its brands, McCloskey, PetroChem Wire, Axxis and Chemical Market Analytics, enable customers to buy and sell energy commodities with confidence across the globe via easy access to transparent data, expert-level customer support, educational events and energy data solutions.

OPIS assessments reflect confirmed bids, offers and trades reported by approved traders, brokers and electronic platforms. Full details about OPIS pricing methodologies are available at opisnet.com/about/methodology.

About Dow Jones
Dow Jones is a global provider of news and business information, delivering content to consumers and organizations around the world across multiple formats, including print, digital, mobile and live events. Dow Jones has produced unrivaled quality content for more than 130 years and today has one of the world's largest news-gathering operations globally. It is home to leading publications and products including the flagship Wall Street Journal, America's largest newspaper by paid circulation; Barron's, MarketWatch, Mansion Global, Financial News, Investor's Business Daily, Factiva, Dow Jones Risk & Compliance, Dow Jones Newswires, OPIS and Chemical Market Analytics. Dow Jones is a division of News Corp (Nasdaq: NWS, NWSA; ASX: NWS, NWSLV).

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/opis-launches-inaugural-asia-pacific-carbon-report-302098658.html

SOURCE Dow Jones & Company, Inc.

FAQ

What does the APAC Carbon Market Report by OPIS offer?

The APAC Carbon Market Report offers daily price transparency and insights for emissions trading schemes in Australia, China, New Zealand, and South Korea.

Who can benefit from the APAC Carbon Market Report?

Compliance entities, jurisdictional agencies, traders, researchers, market analysts, brokers, and consultants can benefit from the APAC Carbon Market Report.

What are some features of the APAC Carbon Market Report?

The report includes data visualizations, breaking news coverage, market analysis, and a calendar of events featuring upcoming policy updates, market events, and conferences.

What are some regional disparities in carbon pricing highlighted by OPIS?

New Zealand Units average NZ$70.60 per metric ton, Generic Australian Carbon Credit Units at AU$35.60, and Korean Allowance Units at ₩9,072.

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