Growing interest

Emissions trading is increasingly seen as the policy instrument of choice wherever policy makers seek to achieve significant reductions in greenhouse gas emissions. International emissions trading is a key element of the Kyoto Protocol while national and regional schemes are being implemented or are under active consideration in the EU, Canada, Japan, NZ and in a number of US states. There is, more generally, growing interest in the use of economic instruments in environmental management. International and domestic trading issues and opportunities are of growing interest to stakeholders in the Asia-Pacific region. This interest reflects developments in the region and beyond:

• Domestic trading developments - Australia. The new federal govenment elected in Australia in November 2007 has ratified the Kyoto Protocol and is committed to meeting Australia's Kyoto target (108% of 1990 levels by 2008-12). It is also committed to introducing a domestic emissions trading scheme. In the past, state and territory governments, through the National Emissions Trading Taskforce, have actively considering the potential for a multi-jurisdictional emissions trading scheme for Australia . NSW already has emissions trading as an element of its Greenhouse Gas Abatement Scheme.
• Prime Ministerial Task Group - Prior to the 2007 election, the previous government also accepted the case for a domestic emissions trading scheme. This occurred in June 2007 when the thenPrime Minister, John Howard, accepted the recommendations of the Prime Ministerial Task Group on Emissions Trading which included establishing a comprehensive cap and trade scheme no later than 2012. Australia now has bipartisan support for domestic emissions trading scheme and will be actively moving to implement such a scheme.

New Zealand has ratified the Protocol and is currently considering a range of climate policy options. It is moving to domestic emissions trading as a core program and, in looking at how a domestic emissions trading scheme could work, they are also in discussions with the Australian government regarding a possible joint market approach.

• International trading potential - emissions trading has the potential to generate valuable trading and investment benefits in the region. Many companies would like to sell Kyoto compliant emission credits into the Kyoto market while others would like to buy such credits as a way of offsetting their emissions.  Other companies in both developed and developing countries in the region are interested in business opportunities associated with the other Kyoto mechanisms, the Clean Development Mechanism and Joint Implementation.

Objectives

There is a need to promote open, well-informed public debate about emissions trading. Such debate helps provide the foundation and stimulus to progress these issues. The AETF was conceived to meet this need by providing a source of information and analysis concerning emissions trading policy and market developments. The AETF does not lobby for particular policies, but rather aims to provide a vehicle for education and informed debate on emissions trading and related issues. It does this by providing:

• information on regional and international emissions trading developments and research
• exposure of and debate on issues through the AETF Website, AETF Review, and in conferences and workshops
• a neutral ground forum where a wide spectrum of views can be accommodated
• considered analysis of global developments from a range of perspectives, but with a particular focus on matters of significance for the Asia-Pacific region.

Activities

The AETF pursues these objectives through a range of ongoing activities, including:

• AETF Website - this website provides an active source of information on the latest developments and research in emissions trading
• AETF Review - six issues of the AETF Review are distributed each year covering both international and domestic developments.
• AETF Events seminars, briefing sessions, etc.- are held on a regular basis to focus on particular issues or developments.
• AETF Business Roundtable - for companies with a particular interest in emissions trading developments and opportunities; provides targeted briefings, meetings and other services. 

Subscription to the AETF Review and access to AETF Website is free. Interested parties are encouraged to register their email address at the top of this page to receive early access to the AETF Review and advance notice of AETF Events.  Information on membership of the AETF Business Roundtable is available here.

History

The Asia-Pacific Emissions Trading Forum (which started out as the Australasian Emissions Trading Forum ) was originally founded in 1998 under the auspices of the Sydney Futures Exchange (SFE). From 1998 to 2000 the AETF provided an active program to disseminate information and foster discussion on both Australasian and international emissions trading developments.

With the SFE directing its priorities away from emissions trading in 2000, it facilitated the continuation of the Forum by transferring the rights to pursue its ongoing operation to Beck Consulting Services Pty Ltd and Analytic Outcomes Pty Ltd. Consequently the AETF was relaunched as a sponsored information service in 2001.  At that time the AETF's bi-monthly journal, the AETF Review, was launched and has been published since then.  In late 2003 the AETF's Business Roundtable was started for companies seeking a more interactive involvement with emissions trading developments, policy makers and market participants.

In 2007, the AETF was brought under the umbrella of the Allen Consulting Group to facilitate its further development and expansion of services in the region. To reflect this wider focus the name was changed replacing 'Australasian' with 'Asia-Pacific'. Tony Beck, who was closely involved in the Forum from the outset, is now the chairman of the AETF.

Since 2001, AETF sponsors have included the Australian Greenhouse Office, Australian Stock Exchange, Business Council of Australia, CRC for Greenhouse Accounting, Forests NSW, NSW Dept. of Energy, Utilities and Sustainability, and the Victorian Dept. of Sustainability and Environment.