Fat finger moment with EU press release
With all that is going on with EU ETS registries, a Commission error in notification on the future use of CERs and ERUs from HFC 23 and N2O projects for compliance in the EU ETS was really unhelpful.
On Friday morning, the Commission announced via a press release that the Climate Change Committee had voted to ban the use of CERs/ERUs from HFC and N2O projects for compliance with EU ETS from 1 January 2013. This sent prices down as the markets reacted to not being able to use these credits for 2012 compliance because of the surrender date for 2012 of 30 April 2013. However, a few minutes later the Commission retracted the press release explaining it had been issued in error and Member States had not actually voted on this issue yet.
To the relief of the market, it issued a release later on Friday, following the vote by the Member States, where it announced the ban would not take effect after 30 April 2013, meaning HFC/N2O CERs can be used for compliance up to the end of Phase II of the EU ETS. With little apology, and blaming its technical people for sending out the wrong press release, before the vote was taken, the EU again seemed to show its naivety for the market it has created.
So far so bad, but in one of the funnier responses to the week’s events, one frustrated trader contended (as tweeted by Point Carbon News twitter link) “If I want a Mickey Mouse market, I’ll go to Disney World”.
 except where a registry allows surrender prior to verification of emissions, in which case they could be surrendered duringn 2012.