Prices for California carbon emissions permits dropped over $2 per ton last week, according to state results announced Wednesday — the third decline since last February when prices were settling at record highs.
The year’s first quarterly sale of pollution permits that high-emitting companies buy to cover their operations in California saw prices settle at $29.27 per ton of carbon, $2.64 below the November 2024 price of $31.91 per ton. The sale generated roughly $850 million for state coffers, down from $1.3 billion in February 2024.
The auction marks the third consecutive price drop since last February, when carbon allowance prices were at their peak of $41.76 per ton after a two-year upswing.
For the last three auctions, prices have hovered just a few dollars above the floor price, which was $25.87 in last week’s auction.
