April 14, 2009 13:34 ET

Global Carbon Market to Achieve $669 Billion in 2013

NEW YORK, NY--(Marketwire - April 14, 2009) - The global carbon market, which consists of the buying and selling of carbon emission allowances or offsets, is projected to ride a half-decade long wave of monolithic growth to reach $669 billion in 2013, according to "Carbon Emissions Trading Markets Worldwide," a new report from industrial market research publisher SBI. Bolstered by continued growth in volume and the anticipated recovery of economies worldwide in years to come, the global carbon market value is forecast to grow by 68% per year to improve upon the less than $84 billion SBI expects the market to achieve during the recession-riddled months of 2009.

The likely participation of the United States through the enactment of a federal cap and trade system by 2012 is also a significant factor in the projected growth of the carbon markets. Transactions conducted under such a compliance-based system are expected to create the world's second largest carbon market, valued at nearly $117 billion by 2013. Other positive factors include higher prices, greater market turnover, and the creation of new carbon markets.

SBI research reveals that the market value of transaction has grown exponentially as both the volume of carbon emissions traded and the price per unit of carbon emissions have swelled significantly since 2004. As a result the global carbon market achieved a 256% compound annual growth rate (CAGR) over the past five years.

The market recorded nearly $118 billion of carbon emissions transactions worldwide in 2008. However, the industry is expected to decrease by 29% in 2009 as a result of the decline in the prices of carbon units traded, a phenomenon widely linked to the economic downturn. Yet SBI notes that the projected decline isn't all bad news, at least not for savvy investors with an eye towards the future.

"This temporary blip in an otherwise burgeoning industry presents an exceptional opportunity for investment as prices in the carbon markets are expected to rebound significantly post-2009," says Shelley Carr, associate publisher of SBI.

"Carbon Emissions Trading Markets Worldwide" provides a broad review of the carbon market. The report includes a discussion of the mechanisms employed in the carbon market and an overview of the market structure and participants. Market demand for carbon emissions allowances and offsets is quantified and projections for growth in demand are provided, along with the key factors influencing said growth. Profiles of companies active in the carbon market are also supplied. For further information visit:

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SBI (Specialists in Business Information) publishes research reports in the industrial, energy, building/construction, automotive/transportation and packaging markets. SBI also offers a full range of custom research services. For more information visit, or contact Don Montuori at (240) 747-3028 or

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