Thursday, 13 March 2008

Climate Change Part 23 (Carbon Credits - Kerr Ching!).

Apparently a Mr (I'm in the money) Sandor is doing quite well from his company - Climate Exchange PLC. The company facilitates the buying and selling of "Carbon Permits" which the Wall Street Journal describes as: "buying and selling the right to pollute." This is another great idea from the EU, who require polluters to cut emissions or buy carbon credits and pollute to their hearts' content. It turns out that a great deal of this buying and selling happens on an exchange set up by Mr (show me the money) Sandor.

From the Wall Street Journal: LONDON -- The planet is getting warmer. Richard Sandor, a 66-year-old economist, is getting wealthier. Last year, the total value of carbon permits changing hands -- whether on public exchanges or in private, off-market transactions, where most still occur -- nearly doubled to €40 billion, or about $60 billion, according to Oslo-based Point Carbon, a market research firm. Yesterday, Climate Exchange's stock jumped 16% after the firm reported a tripling in 2007 revenue to £13.6 million, or about $27 million. That gives the company, which handles about 90% of the trading on carbon exchanges, a market capitalization of roughly $1.31 billion. Mr. Sandor's 20% stake is worth more than $260 million on paper.
Nice work if you can get it.


William Gruff said...

South Sea Bubble? Tulip Mania?

Daily Referendum said...

Mr Gruff,

It could be, especially when you are trading in something you cannot touch. If the EU try to reduce the number of carbon credits they will become more valuable. You could see smaller businesses going under because they can't afford to pollute as much as the big companies. Global warming will ruin some business, even if it doesn't exist.

Jeremy Jacobs said...

Have you seen Alan Caruba's blog and site? He's got some cracking stuff on the CC Fraud.