Carbon auction set to fail, depriving the govt of $900m

Finance minister Nicola Willis needs cash, but the ETS is unlikely to deliver ... for now. (Image: Getty)

Mon, 04 Dec 2023

The likely failure of the last carbon auction of the year on Wednesday would deprive the government of $900 million but set the scene for record-high carbon prices in 2024.The fourth auction of 2023 is likely not to sell any units, barring some exceptional circumstances.However, market experts said the failure to sell any carbon units for the fourth auction in a row could push prices past the previous record of $88 and closer to $100 next year.On Dec 6, there are 15m New Zealand Units (NZUs, a proxy for one tonne of carbon) on offer, including...

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