The New York Mercantile Exchange plans to offer contracts for trading carbon dioxide, The Wall Street Journal reports. Nymex hopes to use its existing relationships with energy companies and traders to snatch business from the Chicago Climate Exchange. Nymex hasn't said when this might launch.
Even without a mandatory cap, U.S. companies have been trading voluntary allowances. Companies in the U.S. are buying allowances to offset their own emissions, either to promote a green public image or to gain experience in allowance trading.
