Our global environmental products (GEP) team won the prestigious title of emissions house of the year at the recent Energy Risk Awards 2017. This award recognises the innovative work the team has delivered in global carbon markets.
GEP is active across the environmental market value chain: in direct financing of abatement activity through the offtake of both physical and environmental commodities, trading and optimisation and demand-driven margin businesses in environmental markets in the US, Europe and Asia.
BP’s growing global environmental products business has developed across the globe building partnerships with our customers across China, Australia, New Zealand, USA, Canada & Europe. As the regulatory landscape changes, so too have the requirements of our clients and we have adapted to bring an innovative global perspective to meet those needs. In addition to our deep, long term partnerships with our customers, understanding of local, often illiquid markets gives us ability to structure products for customers that other institutions are unable to offer.
An overview of recent deals delivered:
- Developed the single largest carbon offset project ever in North America with The Confederated Tribes of the Colville Reservation and Finite Carbon Corporation. The project will help preserve existing carbon stocks on nearly 500,000 acres of forest land. The project also secures access to a lower cost supply for BP’s assets covered by the California Cap and Trade program.
- GEP acquired the upstream portion of Clean Energy’s Renewable Natural Gas business. Demonstrating BP’s commitment to a lower carbon future and built a platform for long term presence in the rapidly growing renewable natural gas market.
- In China, an innovative emission trading deal was arranged with Shenzhen Energy as part of the Shenzhen Province’s pilot emissions trading scheme. This is the biggest carbon financing deal to date in China, and also the first done by an international player.
- Executed a first-in-kind deal structure in Australia. GEP provided financing, enabling the project developer to purchase land in the outback. The land will generate credits to participate in the Emissions Reduction Fund (“ERF”) and provides the landholder an additional revenue stream.
To find out more, please contact our Emissions Team.