Carbon Compliance
EUAs (European Union Allowances) permit the holder to emit one metric ton of CO2 per certificate.
We offer market access, tailored trading strategies and market analysis for cap and trade systems.
About Carbon Compliance
We offer market access, tailored trade operations and market analysis for cap and trade systems around the world.
With both primary auction access and secondary market access, AFS is fully regulated under MiFID II rules and holds all required licences to provide carbon trading services to compliance entities and investors.
Cap and trade
Cap and trade systems work by limiting the number of carbon allowances available each year. Emitters captured within an emissions trading scheme must buy allowances to match their emissions.
As the number of allowances decreases, the price per allowance will increase, making alternative technologies relatively more financially attractive.
EU ETS
The EU ETS is the world's most successful cap and trade market. Heavy industry, power producers and aviators, and soon the maritime sector will be included in the EU ETS. AFS Energy has a track record of working with compliance buyers to help them meet their goals. Whether you have long-term investments, pass carbon costs on to end customers, or are keeping to a budget: we can offer access to EU Allowances on the secondary market and at auction.
UK ETS
The UK ETS replicates the EU ETS for the UK post-Brexit. Though most fundamentals are quite similar to the EU ETS, a few key differences - related to the interconnectivity of electricity networks with the EU - exist. AFS Energy offers market access and analysis for the UK.
Swiss ETS
The Swiss Emissions Trading system was linked to the EU ETS in 2020 and works on the same cap and trade principles as the EU ETS. AFS Energy provides access to Swiss CHU emissions allowance auctions and analysis on likely price developments.
