Green Markets - October 10, 2024

Oct 10, 2024

Green Markets is a daily series dedicated to highlighting events of interest that could impact investments within environmental markets.

Masdar has signed agreements with several Norwegian companies to explore renewable energy and green hydrogen opportunities. These include a strategic framework agreement with Equinor to collaborate on current projects and explore new ventures, as well as a partnership with ICP Infrastructure to invest in green energy infrastructure in Europe.
The Canadian government has announced plans to implement mandatory climate-related financial disclosures for large, federally incorporated companies. This initiative follows a directive from Prime Minister Justin Trudeau in 2021 to align reporting with the Task Force on Climate-related Financial Disclosures (TCFD) framework. As part of this effort, amendments will be made to the Canada Business Corporations Act to formalize the disclosure requirements, while small- and medium-sized businesses will not be subject to these mandates but may be encouraged to report voluntarily.
A coalition of institutional investors managing over $3.5 trillion in assets has urged Korea's Financial Services Commission (FSC) to implement mandatory sustainability disclosures by 2026. The Asia Investor Group on Climate Change (AIGCC) emphasized the need for a clear roadmap and phased approach to climate disclosures.

Uniper and Sasol have canceled their 200MW SkyFuelH2 project in Sweden, which aimed to produce sustainable aviation fuel (SAF) using green hydrogen and forestry residues. The decision was driven by slow market development, insufficient regulations, and rising costs. Originally set for construction in 2025, the project had already faced delays, with South African partner Sasol exiting earlier this year.

ExxonMobil has secured access to over 271,000 acres in Texas state waters, marking the largest offshore carbon dioxide (CO2) storage lease in the U.S. The company, which operates the largest CO2 pipeline network in the country, aims to utilize its extensive infrastructure to provide a comprehensive CCS solution.
Denmark has announced a $4.2 billion fund to support carbon capture and storage (CCS) initiatives as part of its decarbonization strategy. Selected projects will receive funding over 15 years, focusing on the capture, transportation, and geological storage of carbon from various sources. The goal is to achieve a 5% reduction in annual carbon emissions, equivalent to about 2.3 million tonnes per year, starting in 2030.

Related Stock List(s): Carbon Capture Stocks

Vietnam plans to implement a pilot carbon credit market from 2025 to 2028. The program aims to set emission quotas for key sectors, including power, iron and steel, and cement, helping these industries respond to challenges posed by the EU’s Carbon Border Adjustment Mechanism (CBAM). During the trial period, carbon trading with international parties will be limited, except for transactions under existing international agreements, to fully activate the carbon market nationwide by 2029. Approximately 200 facilities, representing around 45% of total emissions, will receive emission quotas and be required to implement emission reduction strategies.

France plans to reduce its EV purchase subsidies by a third in 2025, lowering the budget from €1.5 billion to €1 billion, with a focus on supporting lower-income households. The government cites lower EV costs and increased market share as reasons for cutting subsidies. Additionally, France will introduce stricter penalties on high-CO2 emitting vehicles starting in 2025.

Canadian venture firm Diagram has successfully raised C$80 million for its inaugural climate-focused fund. So far, Diagram has made two seed investments in companies related to EV charging and sales software.

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