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European Union Allowances

Over 10,000 industrial installations across Europe have had annual carbon emission reduction targets set for them under National Allocation Plans (NAPs) for each EU country. The companies that own the installations are allocated a number of allowances, called European Union Allowances (EUAs), matching their target. From 2013 free allocation is being reduced and companies will obtain their allowances from auction bidding.

Each EUA gives the owner the right to emit one tonne of carbon dioxide. Companies that don't use up all their allowances, that is, emit less than they are entitled to, can sell them. Companies which exceed their emission target must offset the excess emissions by buying EUAs, CERs or ERUs. 

Trading Solutions in Focus

Trade Execution
For those customers that want a simple Trade Execution only service – we buy and sell Environmental products on a fixed or floating basis. Shell serves as market maker.
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Additional risk management services to help you manage the cost of emissions compliance.

Structured Deal
Value identification and tailored deals to capture value in your emissions portfolio.
Project Offtake
Shell originates and offers unit contingent (secondary offtake) credits to sophisticated buyers interested in taking on offset project risk.
Project Developer
Shell offers CER offtake and process management services to CDM project developers.