Standard Chartered Bank has opened an energy transition desk.
The bank’s energy transition business will initially encompass carbon trading on the European Union Emissions Trading Scheme (EU ETS) and Financial Natural Gas trading, bringing them together onto a single desk, said a press release.
Helping them manage the current extreme volatility seen in European and Asian gas markets, as well as strong moves in the Henry Hub and European ETS.
According to the Paris Agreement, the world needs to rapidly transition to a low carbon economy, halving carbon emissions by 2030 and reaching net-zero by 2050 to limit the rise in global temperatures by to 1.5℃.
The bank will be ready to trade eligible contracts in line with the Core Carbon Principles, expected to be in Q2 2022.