The bumpy road continued for a VEEC market in transition, as May brought a reprieve in ESC supply volumes.
While the Clean Energy Regulator believes the 2020 LGC target is met, the market continues to offer mixed signals. Meanwhile, more activity in new financial products continues.
A recovery in VEEC supply was not enough to prevent prices in the Victorian Energy Efficiency certificate market from strengthening in volatile conditions.
Trade volumes remain subdued, while a range of new financial instruments have emerged to assist the rise of renewable energy projects. The STC market enjoyed solid pricing across April.
LGC market endured a mundane March, but the small-scale market was abuzz with activity and speculation surrounding the target for 2018.
Cut off date for old commercial lighting rules; market waits for direction from Victorian Opposition ahead of state poll.
Prices stay high as traders doubt regulator’s confidence on project timelines, while questions remain on future of RET post 2020.
Having brought 2017 to a close on a comparatively stable note, the VEEC market began 2018 in a far more spectacular fashion. ESC market has also started in a positive frame of mind.
Following a generally stable end to 2017, forecasts suggesting the LRET will be met by 2020 have drawn a mixed reaction in the LGC market across January.
Price jump in the VEEC market across the last 5 months has been massive, with speculation and then confirmation scheme administrator will reduce the attractiveness of some commercial lighting products.