ClimateBiz

A project being touted as one of the world's first carbon capture and sequestration pilot will be commissioned next week in Germany.

Swedish utility company Vattenfall will fire up the $100 million CCS plant that will turn lignite coal into an oxyfuel that will get injected into a former natural gas field, BBC reported. Vattenfall wants CCS to be fully commercialized by 2020.

After catching flak from environmentalists and some politicians for potentially weakening vehicle-related carbon dioxide emissions, European Union lawmakers postponed a vote to allow more time to toughen the rules.

The European Parliament's environment committee was to vote on watered-down laws easing emissions targets for new cars, extending the phase-in period for carmakers to comply, and lowering penalties for those that didn't, Reuters reported.

There is an oft-repeated idea that carbon offsets should be the last step taken to minimize greenhouse gas emissions. Although some accept it as conventional wisdom, there is little to support this premise.

The hierarchy of avoid, reduce, replace and offset is not a time-line; it is a statement of weighted priorities of how best to lower emissions and reduce our respective carbon footprints. Avoiding activities that cause emissions is the purest positive impact in carbon dioxide (CO2) emissions anyone can achieve.

Passenger and cargo traffic for U.S. airlines grew more than 20 percent between 2000 and 2007 while fuel consumption shrank nearly 3 percent, according to its trade group.

In its 2008 annual report, the Air Transport Association said the industry produced 11.2 billion pounds fewer carbon dioxide emissions in 2007 compared to 2000. Overall, aviation produces 2 percent of U.S. greenhouse gas emissions.

Dow Jones Indexes launched a series of indexes this week that will give investors exposure to carbon trading and sustainable companies.

First, Dow Jones joined the Chicago Climate Exchange to introduce two global emissions indexes. One, the Dow Jones/CCX European Carbon Index is based on European Union Allowances (EUA) futures issued under the European Union Emissions Trading Scheme (EU ETS). The EU ETS is the biggest cap-and-trade in the world put in place to reduce greenhouse gases.

BMW led the industry in reducing year-over-year carbon dioxide emissions from its fleet, according to a new report.

New BMWs sold in the European Union last year emitted 7.3 percent less CO2 compared to 2006 models, more than four times the industry average, a report from the European Federation for Transport & Environment (T&E) found. Overall emissions rates for carmakers improved by just 1.7 percent.

More than 160 countries gathered in Ghana last week to continue talks on a climate agreement that will succeed Kyoto.

Delegates at the U.N. conference grappled with key roadblocks, such as drawing developing countries into the fold, deforestation concerns and additional greenhouse gases that could be brought under a cap. A final draft of the new treaty will be adopted next year in Copenhagen.

A coalition of farmers, businesses, governments and nonprofits released the first draft of a biofuels global standard.

The Roundtable on Sustainable Biofuels (RSB) created the set of principles that it hopes will guide worldwide production and processing for the controversial fuel that has recently come under fire because of environmental and food price concerns.

Over the last 10 years, corporate lobbying has evolved from an art to a science. Total lobbying dollars have more than doubled to reach $2.82 billion annually in 2007, with major industry accounting for nearly half, according to the Center for Responsive Politics. Impressive growth, especially since caps on "soft money" became de rigueur among politicians during that period.

Accounting and consulting firm KPMG is warning United Kingdom businesses to begin examining their carbon emissions ahead of a new mandatory carbon trading program launching in late 2009.

If they don't, they could face cash flow issues when they go to purchase emissions allowances for the Carbon Reduction Commitment (CRC). Companies that take early steps to minimize reductions will reap rewards of rebates and public praise, KPMG said.