Euromoney

The September 2007 issue of Euromoney has an article about emissions trading in China which mentions our Hong Kong study (see previous posting), and also cites me on a number of occasions. For example:

On July 18, Hong Kong Exchanges and Clearing appointed Australian law firm Mallesons Stephen Jaques, and consultants International Environmental Trading Group and Climate Focus, to study the trading of emissions-related products, expecting the study to take four months. “The US has developed sophisticated markets on pollutants; Europe has a large and aggressive market. It’s pretty clear Asia’s going to be next,” says Raufer at IETG. “The question is how do you evolve into that, and deal with development issues and pollution problems.”

Key to it will be the regulatory framework. “You need an institutional basis for structuring these markets,” says Raufer. “They are artificial markets created by government requirements. They’re not like widgets or cellphones where people want to buy them. You buy them because you have to. So you need that regulatory infrastructure, and it takes a while to establish.”

The article is covered by their copyright, but please drop me a note & I’ll be happy to send along a copy for personal use.