Carbon market collapses further - Kyoto on the back burner ?

The Carbon price plunged again yesterday trading ended Euro 3.7 down at Euro 9.25 as the Market waits for the announcements on Monday on details of EU Emissions. This further dramatic drop of 25% indicates that those who have prior knowledge have let some information out to the market.

Keen observers are keeping an eye on Econergy (ECG) who Numis Securities brought to the AIM Market on February 23rd RNS Number:8093Y. Econergy sell wood chip fired small heating systems , for example a fascinating report is available for an installation at Cirencester Organic Farm Shop The shares which hit the market at 110p dropped 10% when the carbon markets fell off a cliff as sustainability fell out of fashion, yesterday they closed at 98p.

As at 27 January 2006, Econergy had submitted for registration the largest number of projects to the Executive Board of the Clean Development Mechanism ("CDM") of the Kyoto Protocol of any single company (15 per cent of the world market).

At launch Tom Stoner, CEO said:

"Econergy's flotation is an example of Kyoto working."

"The demand for clean energy worldwide is growing rapidly; our dual income streams - from power revenues and the sale of carbon credits - have proved attractive for investors. We are excited about Econergy's future and are confident that we can deliver on our business plan and create value for our shareholders."

I do seem to remember over 3 years ago the optimists would buy a forest and install a wood burning stove.Perhaps you should add a crate of Whisky and an AK 47.