Compliance emissions markets

Marex is a market expert in US (RGGI, CCA), EU (EUA), New Zealand (NZUs) and UK (UKA) compliance emission markets.

Marex navigates clients through these markets, providing data and commentary on the latest regulatory and policy requirements as well as market access to physical and derivatives.

EU markets

Our main focus in Europe is on the market for EUAs – European Union Carbon Allowances – where we offer access to futures and options, complemented by research published by our in-house team of experts.

The EU Emissions Trading System (EU ETS) is fundamental for the success of the EU’s policy to fight climate change. This market-based mechanism remains a key tool for reducing greenhouse gas emissions cost-effectively as well as being the world’s first international ETS, and the biggest carbon market.

The scheme successfully limits emissions from more than 10,000 heavy energy-intensive installations and airlines operating between these countries.

The EU ETS works on the ‘cap and trade’ principle, where a cap is set on the total amount of greenhouse gases that can be emitted by industry participants included in the system. The cap is consistently reduced over time which forces the participants to constantly invest in cleaner technologies. As a result, total emissions fall.

While the ETS defines the supply-side of carbon credits, other factors play an increasingly important role in the EUA’s price formation process. These are the demand for EUAs, macroeconomic conditions, as well as market behaviour of speculators and industrial hedging interest.

Our analytical products for electricity, natural gas, LNG, freight and thermal coal markets, plus the in-house macroeconomic and data science capabilities, provide the platform for successfully engaging with this growing commodity market.

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New Zealand markets

With Marex, you’ll get access to New Zealand’s compliance carbon market.

Whether you’re an emitter, forester, or speculator, we provide a full suite of services, including cleared spot trading of New Zealand emission units (NZUs), futures, forwards, and options.

Our team can help you with all aspects of carbon transactions:

  • Buying and selling NZUs
  • Forwards and options
  • ASX futures
  • Carbon repos
  • Carbon offtake agreements

We’ll also guide you through New Zealand’s carbon market, using our knowledge of domestic and international regulatory landscapes.

And you’ll benefit from insights our in-house experts and dedicated NZU trading platform, Neon Carbon.

If you’re looking to explore any carbon-related opportunities, get in touch with us today.

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US markets

In the US emissions markets, Marex has strong relationships with public and private utility and industrial entities across the USA, where we provide a comprehensive service in both emissions and carbon markets.

Our US team transacts Regional Greenhouse Gas Initiative (RGGI) Allowances and California Carbon Allowances (CCAs), providing our clients with the most transparent, efficient and cost-effective way to monetise their environmental products.

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Get in touch

Jack Velasquez

Director of Environmental Markets North America

David Nussbaum

Head of North American Carbon Markets