High Oil Prices Continue to Drive Emissions

New York (15 July 2008)

Henrik Hasselknippe is one of the premier energy analysts in the world and Director of EU emissions trading analysis at Point Carbon, a world-leading provider of market intelligence, forecasting and advisory services for the energy and environmental markets. He is available to offer his expert commentary on current U.S. and global carbon issues including:

The impact of high oil prices on the price of carbon

• In the short term, high oil prices will lead to more, not fewer, emissions as power producers will stick to coal.
• In the long term, as oil prices remain high, the resulting high carbon price will drive additional investments into renewable energy.

Carbon as a commodity

• Carbon is now an integrated part of the energy commodity complex alongside oil, natural gas, coal and power.
• Already, we have seen transactions totaling $62 billion USD (€40B) in 2007 and we expect this to increase to more than $94B USD (€60B) this year. Once a global market is solidified, we could see transactions totaling $3.1 trillion USD (€2T) by 2020.
  

Carbon regulation

• Carbon is currently the largest unregulated energy commodity.
• If floor or ceiling prices were set for carbon, it would simply create an overly complicated tax, not a market.
• While a carbon tax will allow companies to know what the price of carbon will be, it cannot guarantee emissions reductions.
• If the U.S. can set clear emissions goals and allow market participants the flexibility they need to meet these targets then the market will always find the right price level.
  

Other topics Mr. Hasselknippe can discuss include:

• Major lessons learned from the first and second phase of the EU Emissions Trading Scheme (EU ETS).
• Benefits of and key issues relating to carbon trading in the US and worldwide.
• How an U.S. carbon market is likely to interact with carbon markets already established both domestically and
• abroad.
• Background and general information on international carbon markets—size, mechanisms, etc.

To schedule an interview or to recieve more information, please contact:

North America:
Frank Lentini
Intermarket Communications
Tel: +1 (212) 754 5615
flentini@intermarket.com  

Europe:
Candida Jones
PR Manager
Mob: +44 (0) 777 5754 763
E-mail: press@pointcarbon.com

About Henrik Hasselknippe
Director EU emissions trading analysis
Henrik Hasselknippe has conducted research in the field of energy and environment since 1997 and on international climate change policy since 1999. His main research focus is on the future climate regime, in particular the development of emission trading markets and the policy steps needed to link these markets. He also focuses his research on wider studies of the policy structures that influence the specific investment strategies of oil, gas and energy companies.

About Point Carbon
Providing critical insights into energy and environmental markets
Point Carbon is a world-leading provider of independent news, analysis and consulting services for European and global power, gas and carbon markets. Point Carbon’s comprehensive services provide professionals with market-moving information through monitoring fundamental information, key market players and business and policy developments.

Point Carbon’s in-depth knowledge of power, gas and CO2 emissions market dynamics positions us as the number one supplier of unrivalled market intelligence on these markets. Our staff includes experts in international and regional climate policy, mathematical and economic modelling,forecasting methodologies, risk management and market reporting.

Point Carbon now has more than 15,000 clients, including the world’s major energy companies, financial institutions, organisations and governments, in over 150 countries. Reports are translated from English into Japanese, Chinese, Portuguese, French, Spanish and Russian.

Point Carbon has offices in Oslo (Head Office), Kiev, London, Malmö, Tokyo, Boston and Washington D.C.