Caisse des Dépôts et Consignations, Euronext and Powernext prepare a European CO2 emission permit exchange

Community Directive 2003/87 / EC confirms the European will to fight climate change by establishing a system for trading greenhouse gas emission allowances in the Union. The efficiency of the quota trading system will be checked against the quality of the “price signal” issued by the market, on the basis of the transactions that will actually be carried out and identified there. The confrontation of offers and requests in a single place will ensure the greatest liquidity on this market.

It is in this context that Caisse des Dépôts et Consignations, Euronext and Powernext wished to join their expertise to set up a market organized in cash of allowances or CO2 emission permits based on four principles:

• the guarantee of successful completion of transactions based on a harmonized and secure delivery settlement mechanism annihilating defaults and CO2 quota delivery failures,

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• transparency of prices and their method of fixing

• non-discriminatory access and anonymity of stakeholders

• the simplicity of an integrated negotiation-to-delivery system, open to all participants with an account in one of the 25 CO2 emission registers in Europe.

On December 14, 2004, Caisse des Dépôts et Consignations, Euronext and Powernext signed a letter of intent laying the foundations for this collaboration. The launch of this market - the terms of which are being finalized - is scheduled for March 2005.

Note on econology: if the idea is an interesting breakthrough, as it gives a little more responsibility to “polluting” companies, it would be more than desirable for part of these exchanges to benefit R&D with real solutions, for example through a tax. But it is very likely that this system only enriches transactionalists, bankers and other "eco" goldenboys ... at the complete expense of environmental progress!

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