OPIS launches film on new carbon market and bundled fuel and carbon contract pricing
OPIS Clean Jet – jet fuel and carbon pricing joined up is the title of a new film launched this week by Oil Price Information Service (OPIS) aimed at airlines and fuel suppliers involved in Europe’s new Emissions Trading System (ETS).
The launch marks the start of new pricing services for OPIS customers designed to make complying with Europe’s carbon cap and trade system simpler.
OPIS hired a reporter with carbon market experience and then got its expanded team to track down aviation fuel managers, treasury executives and suppliers across the world as it researched the film.
The seven-minute production highlights OPIS’s new ‘clean’ fuel pricing, a concept which comes from contracts pioneered in the electricity market which had carbon permit costs included.
The new contracts are emerging in the aviation market as suppliers look for ways to make complying with the new emissions system an easier reach for EU airlines, and operators that fly into the European Union.
Peter Hind, Managing Director of RDC Aviation, a leading consulting group was interviewed at the company’s Nottingham base, and Jonathan Leak of World Fuels Services met the crew in Atlanta, Georgia.
“Consolidated jet fuel and carbon contracts won’t suit everyone,” Leak says in the interview, “but for companies who are short of carbon allowances and who don’t want to actively trade carbon themselves, they provide a good option.”
“We’ve already had aviation managers calling up to say how much they appreciate being able to access the ‘clean’ prices,” said Tim Wright, who runs OPIS’s team in Europe, “and our forward clean assessments, which for the first time give them visibility on their costs in 2012.”
The film, along with a series of longer interviews, can be viewed online, where the team is also tweeting from the launch of the new pricing service at the IATA Fuel Forum in Singapore.