U.S. company auctions 300,000 U.N. carbon credits
NEW YORK, Nov 20 (Reuters) - U.S.-based online exchange World Energy Solutions Inc said on Thursday it has completed an auction for carbon credits that can be used for compliance under the U.N.'s Kyoto Protocol on global warming.
Germany's N.serve Environmental Services GmbH sold the 300,000 certified emissions reductions (CERS)to French power giant Electrabel GDF Suez (GSZ.PA). N.serve develops projects to reduce emissions at nitric acid plants and other facilities.
The mechanism allows rich countries to invest in clean projects in developing countries to meet their emissions requirements.
The CERs sold in the auction represent a reduction of one tonne of carbon dioxide equivalent at registered clean development mechanism projects in South Africa, Israel and South Korea.
The companies did not reveal financial details, but a source with knowledge of the deal said it was worth roughly $5.5 million.
Most carbon credit deals in the European Union are completed through brokers.
Phil Adams, president and chief operating officer of World Energy, said that auctions allow sellers to get the best price they seek because brokers sometimes feel pressure from both sides of a party to get deals done quickly. (Reporting by Timothy Gardner; Editing by Christian Wiessner)
