Early trade slow at Canada's carbon exchange

The first Canadian carbon emissions exchange has opened for trading, but may struggle to find traction amid regulatory uncertainty, finds Katie Holliday

Carbon trading at the Montreal Climate Exchange (MCeX) got off to a slow start after its May 30 launch, a struggle some observers believe will continue until a national carbon emissions scheme becomes permanent. A mandatory cap and trade scheme is being drawn up to cover some provinces, but not before 2010.

"The MCeX is unlikely to see a large volume of trading for a good while yet, as firms will have a hard time figuring out what delayed mandatory targets mean for them," says Matthew Bramley