In the Air - September 2009 The American Clean Energy and Security Act: Identifying Investment Opportunities in the Transition to a Low-Carbon Economy
In June 2009, the US House of Representatives passed The American Clean Energy and Security Act (ACES), otherwise known as the Waxman-Markey Bill. The ultimate passage of US legislation addressing clean energy and cap and trade will likely lead to the successor of the Kyoto Protocol, the negotiation of which will begin in December 2009 in Copenhagen. It is widely anticipated that the creation of a US carbon market will have a big influence on the ultimate structure of a new global market. Investors looking for attractive opportunities in this space should be aware of the intent of the legislation. The investment opportunities are usually drawn out from the parts of legislation that are backed by enforcement and in the subsidies for new desired ventures. Savvy investors try to anticipate which types of markets will emerge and whether or not they are currently under- or overvalued...
Download Complete PDF Version

In the Air - Federal Cap-and-Trade Program
On Friday, June 26, 2009, the US House of Representatives passed the Waxman-Markey Bill – also known as the American Clean Energy Security Act of 2009 – by a vote of 219-212. This was the first important step in moving the United States toward a federal cap-and-trade program under which greenhouse gases are regulated and market mechanisms are used to achieve targeted emission reductions...
Download Complete PDF Version

In the Air - January 2008 Environmental Market News Where do Emissions Fit into Socially Responsible Investing?
Investors focused on ESG (Environmental, Social and Governance) opportunities often question the suitability of the emerging carbons markets. ESG investment policies typically screen traditional equities and bonds for opportunities. How can a commodity-like instrument, like a carbon credit, fit into this investment framework?...
Download Complete PDF Version

In the Air - November 2008 US Policy Under Obama
President-elect Barack Obama has stated his position on environmental policy. These will look something like the following: CO2 nationally will be reduced by 80% below the 1990 amount by 2050. A cap-and-trade process will be used. Designated polluters will need to purchase permits; 100% of the permits will be auctioned. Revenue from the auctions will be re-directed to clean energy technology. 25% of national electricity production will come from renewable energy sources by 2025...
Download Complete PDF Version