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Accelerate emissions reduction trajectories

Accelerate emissions reduction trajectories

By purchasing carbon allowances, you are effectively reducing the overall carbon budget available to industries and contributing to their price rise.

The European Union Allowances (EUAs) that you can now purchase for your portfolio are identical to those used for EU Emissions Trading Scheme (EU ETS) compliance. As the carbon budget for the European industrial installations is limited, buying these allowances decreases the amount available for industries to emit CO2.

EU regulators have designed the EU ETS with a gradually decreasing supply to bring Europe towards carbon neutrality by 2050. By purchasing EUAs, you further contribute to increasing their scarcity by removing them from the total carbon budget.

Homaio introduces a new type of demand that was previously absent from the demand-supply price curve. This means that fewer carbon allowances are available for industries to match their emissions.

So, when you buy and hold EUAs, you make them an increasingly scarce resource for industries. And in turn, prices rise. As releasing carbon into the atmosphere becomes more expensive, it becomes more financially viable for industries to invest in decarbonization technologies.

By purchasing EUAs, you are increasing their scarcity, driving up prices, and expediting the shift towards industrial decarbonization.

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How does my EUA investment affect the carbon budget in the EU?

How does my EUA investment affect the carbon budget in the EU?

There is a finite carbon budget available to industries and you have the power to influence it. A cap-and-trade scheme sets a limit on the carbon emissions that can be released in a specific region over a certain period to meet climate objectives. By purchasing EUAs, you effectively remove the corresponding carbon allowances from the market, preventing industries from emitting that amount of CO2 during your investment period. In doing so, you directly reduce the total amount of pollution industries can release.
Are the EUAs that I can buy the same as those that industries buy?

Are the EUAs that I can buy the same as those that industries buy?

Are the EUAs that I can buy the same as those that industries buy?
Can I delete forever my carbon allowances?

Can I delete forever my carbon allowances?

Diamonds are forever, and canceling carbon emissions can be too. You have the power to permanently reduce the overall carbon budget available to industries by deleting the European Union Allowances (EUAs) you hold.
Why is it important to purchase EUAs sooner rather than later?

Why is it important to purchase EUAs sooner rather than later?

Purchasing European Union Allowances (EUAs) today effectively reduces the carbon budget available for emissions right now. This is crucial for protecting the environment and mitigating the immediate, accumulative impacts of climate change.
Does my investment have a climate impact even if I sell my EUAs?

Does my investment have a climate impact even if I sell my EUAs?

Your positive climate impact is not erased once you sell your European Union Allowances (EUAs). Actually, keeping them for as long as possible and then selling isn't just about maximizing financial returns—it is a climate conscious action that improves your impact on reducing carbon emissions.
What role does financial activity play in the EU ETS?

What role does financial activity play in the EU ETS?

The European Union Emissions Trading Scheme (EU ETS) is both a policy tool and a financial market. The more market participants there are, the more robust the market becomes. After all, what is a marketplace without any participants?