Helping businesses navigate carbon compliance markets
Shell Environmental Products collaborates with companies worldwide, helping them meet environmental regulations and manage their exposure to carbon markets with expertly tailored solutions.
What are carbon compliance markets?
Compliance markets are a key mechanism through which companies can manage their emissions by trading carbon allowances or carbon credits. These markets are administered by national, regional, and/or international regulators. Shell provides tailored solutions in these regulated markets, helping businesses meet their jurisdictional emissions obligations, ensuring compliance and supporting sustainability goals.
Why choose to work with Shell
Market commitment
More than 20 years of experience in carbon markets1
Experience in complexity
Shell, with a legacy in environmental projects and close to 100 experts in the carbon markets, helps clients navigate complexity, tailoring solutions to meet diverse needs.
Leading expertise
Since pioneering the first trade in the EU ETS in 2003, Shell has actively engaged in major global emissions trading schemes, offering deep expertise in compliance.
Global reach in carbon compliance markets
Since our first trade on the EU Emissions Trading Scheme in 2003, Shell has played a role in the European carbon market and expanded to major emissions trading schemes globally, demonstrating our commitment to carbon compliance.
Compliance markets where we operate
— Nick Osborne, General Manager, Shell Environmental Products"With over two decades of carbon market experience, we provide solutions to help customers from all over the world manage their compliance obligations, both locally and regionally. We've also built a large portfolio of carbon credits, enabling our customers to access credits from a wide range of projects as part of their voluntary decarbonisation journey."
Customised carbon market solutions
Shell offers bespoke solutions, from basic market access to complex trades, all customised for your needs. Our approach centres on value maximisation, ensuring each solution meets your requirements and reveals further market potential.
Innovative physical structures
Shell's physical structures in carbon compliance markets offer solutions like spot and forward trades, and off-take agreements, including secondary and prepaid options. We focus on flexible volume and pricing, providing liquidity and accommodating diverse needs in emissions trading.
Tailored virtual structures
We offer bespoke virtual structures in carbon markets, focusing on efficient asset and price linkages. Catering to diverse markets, ensuring scalability and balance sheet efficiency, our solutions provide expert control and flexibility in complex carbon trading.
How we plan to work with carbon compliance market customers
We arrange a consultation with you to understand your compliance requirements
Shell team will work up a proposal
We tailor solutions to your needs, from simple market access to complex structured trades
We’re here to help
Frequently Asked Questions
What do environmental compliance markets entail?
What do environmental compliance markets entail?
Environmental compliance markets serve as a mechanism for companies to meet their environmental obligations by trading allowances or credits issued under the scheme. Shell Environmental Products oversees the Shell Group’s involvement in these markets worldwide, offering customised solutions to customers and partners.
If using carbon credits to meet compliance requirements, how can I be sure that they lead to a reduction in carbon emissions?
If using carbon credits to meet compliance requirements, how can I be sure that they lead to a reduction in carbon emissions?
Shell works with with high quality, global projects. These projects are verified by independent organisations with highest internationally recognised standards which have established processes of checking that the carbon is being accounted for correctly. We also carry out due diligence across our portfolio.
How do I know what carbon allowances or credits to buy to fulfil my compliance obligations?
How do I know what carbon allowances or credits to buy to fulfil my compliance obligations?
If you are looking to purchase carbon credits to fulfil your compliance obligations, there may be a range of options available to you depending on the market, your preferences and requirements. Find out more about the carbon credit projects in our portfolio here or for more detail, reach out to one of our team to talk through your needs.
How do I know what regulations I need to comply with?
How do I know what regulations I need to comply with?
Regulation around carbon compensation depends on several factors, including sector and geography. For the most up to date information, we recommend referring to government and industry-specific resources.
Disclaimers
¹Based on Shell’s first carbon allowance trade during the EU ETS setup phase in 2003, prior to the scheme’s formal launch in 2005.
