The province of Quebec completed its first auction of vintage year 2013 and 2016 Quebec carbon allowances (QCAs) under its cap-and-trade program, but well less than half the allowances on auction sold. The December 3rd auction therefore cleared at the auction floor price of C$10.75 for both vintage 2013 and vintage 2016 QCAs.
Earlier this year, California and Quebec agreed to link their carbon cap-and-trade programs, permitting fungibility of allowances and offsets across the jurisdictions. Starting January 1st the allowance tracking system, CITSS, will permit transfer of allowances between California and Quebec accounts. The governments are also working toward joint auctions of allowances sometime in 2014.
Below you will find the top-line results of the auction. We will continue to provide updates, including reaction to the auction in the secondary market, in subsequent blog posts. Please contact Evolution Markets' US Carbon Markets Team at: +1 415.963.9137 or +1.914.323.0265, for more details on the auction or to transact in the market.
| Allowances Available for Auction | |
| VINTAGE 2013 | VINTAGE 2016 |
| 2,971,676 | 6,319,000 |
| Vintage 2013 | |||||
| Allowances | Bidders | Settle Price | |||
| Offered: | 2,971,676 | % Compliance: | undisclosed | $10.75 | |
| Sold: | 1,025,000 | ||||
| Bids/Available for Sale Ratio: | 0.35 | ||||
| Vintage 2016 | |||||
| Allowances | Bidders | Settle Price | |||
| Offered: | 6,319,000 | % Compliance: | undisclosed | $10.75 | |
| Sold: | 1,708,000 | ||||
| Bids/Available for Sale Ratio: | 0.28 | ||||