Posts Tagged ‘European Commission’

Carbon trading fraudsters lobby hard to keep their playground unregulated

October 10, 2011

Stupidity (in introducing cabon trading in the first place) and greed among the carbon traders and speculators reigns supreme.

No surprise!

Reports calls for tougher regulation on carbon trading scheme

Reports calls for tougher regulation on carbon trading scheme: image clickgreen.org.uk

Clickgreen reports:

Finance sector lobbyists are pushing the European Commission to block tighter regulation of the EU’s carbon market, a new report from Corporate Europe Observatory and Carbon Trade Watch, published today, reveals. 

The Commission is currently reviewing regulation of the market following a number of fraud cases and leaked documents suggest that it will include carbon trading under the revised Market in Financial Instruments Directive.

But according to Letting the market play, lobbyists from the International Emissions Trading Association – the main body representing carbon traders – and BusinessEurope have sought to minimise new regulations, with BusinessEurope claiming “no further regulation” is needed. 

Report author Oscar Reyes said: “Carbon markets are a playground for fraudsters and speculators. Financial regulations are the Commission’s belated attempt to trim the excesses, but the problems lie at the core. Handing over environmental policy to traders has done nothing to address climate change.”  ……..

The report shows that while IETA has blamed a “lack of action from the side of the regulators” for the cases of carbon fraud, its lobby strategy has been driven by a desire to find new opportunities for speculation by whatever means are necessary. 

In January 2011, the European Commission halted trading on a key part of the carbon market after the latest in a series of large fraud cases was uncovered.  According to Carbon Trade Watch, less than a month later and with the suspension still partly in place, the International Emissions Trading Association (IETA, the main carbon traders’ lobby group) was privately insisting to Brussels officials that “there might be no need to regulate this market”.

European commission extends carbon market freeze indefinitely

January 27, 2011

And about time too.

A raft of countries (including Japan, Australia, Canada and the United States) have already shelved cap and trade schemes.

Of course the fundamental fraud that is carbon trading goes much deeper than just the  recent thefts of credits. Hopefully it will never be revived!

image wattsupwiththat.com

The Guardian:

The European commission’s emergency suspension last week of trading in carbon allowances to put a halt to rampant theft of credits by hackers has been extended indefinitely until countries can prove their systems are protected from further fraud.

While the suspension had been expected to end last night, Brussels now says that the freeze in trades had been imposed to give the commission executive some breathing space to figure out what to do.

“The suspension last week was only a transitional measure to give the commission and member states the time to assess the situation and decide the way forward,” the commission’s climate spokeswoman, Maria Kokkonen, said. “Okay, this hurts, but it must hurt in order to make things more secure, more robust. Evolution through crisis.”

A total of 30 countries that participate in the Emissions Trading Scheme, Europe’s flagship climate change policy, must now send assessments of the situation performed by independent monitors. On 19 January, the commission suspended “spot” trading in allowances after up to 2m permits worth around €30m were stolen by computer hackers. Brussels said that half the participating countries were not sufficiently secure. Permits went missing in Austria, the Czech Republic and Greece.


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