Perenia
Complete Carbon Solutions
News
Perenia in the press: ‘Local trader challenges Europe’
Source: The Australian, 31st August 2009
AUSTRALIAN carbon trading and investment firm Perenia is hoping growing interest by Australian firms in international carbon offsets will help it challenge the dominance of European firms in the market.
Perenia is the only significant Australian-based firm specialising in investments under the UN Clean Development Mechanism, which enables projects built in developing countries to generate credits to meet emission reduction targets in developed countries.
The company was relaunched last week to focus on growing interest in the mechanism from Australian companies, which will be allowed to invest heavily in international offsets if it proves to be a cheaper form of abatement than reducing their own emissions.
Some analysts estimate that half of Australia's planned emission reductions could come from such projects.
Perenia is backed by renewable energy company Pacific Hydro and clean technology group Snowy Mountains Engineering, which have been joined by Japanese resources giant Mitsui in a three-way venture.
Perenia chief executive David Tow says the company already has 30 mechanism projects on its books, mostly in India, but also elsewhere in Asia and in South America.
As Australian companies focus on the costs of the proposed Carbon Pollution Reduction Scheme, international offsets will emerge as a major opportunity for risk management and hedging abatement costs, he says.
Australian companies will be allowed unlimited access to international carbon credits such as those created by the mechanism, but Tow says direct investment in such projects by Australian companies could offer an even cheaper form of abatement.
