Verdant Energy uses World Green Exchange to award 80,000 tonnes of carbon
offsets to three of eight bidders
WORCESTER, MA, Jan. 23 /CNW/ - World Energy Solutions, Inc. (TSX: XWE),
the operator of leading online exchanges for energy and environmental
commodities, today announced the company completed a landmark online auction
event. Using the World Green Exchange, Verdant Energy, a leading Canadian
power supplier, auctioned off Carbon Offsets (commonly referred to as green
credits) under the recently established Alberta Offset System.
By leveraging the World Energy platform and working with Baseline
Emissions Management, Verdant was able to sell its green credits to an online
community of buyers. Verdant had previous indications that the value for its
credits would be less than its desired benchmark price, and were very
satisfied with the outcome of the quick and profitable auction.
- As one of the largest regulated greenhouse gas emissions (GHG)
markets in North America, Alberta is requiring large emitters to
reduce emissions by 12% before March 31, 2008 or face financial
- To facilitate compliance, emitters have the option to pay into
Alberta's climate change Technology Fund for $15 per Tonne.
- World Energy conducted six separate auction tranches, culminating in
more than 80 bids.
- Three of the eight bidders were awarded a total of 80,000 Tonnes,
resulting in a significant savings over what they would have had to
pay into the Technology Fund.
Verdant Energy's credits resulted from their DAPP Offset project, an
emission reduction initiative that produces electricity by burning biomass.
Ordinarily, biomass is sent to landfill and emits methane through anaerobic
decomposition. By diverting this waste to a biomass plant, methane emissions
are replaced by carbon dioxide, an emission 21 times less potent than methane.
Verdant will be in a position to offer additional credits in the coming
Commentary & Quotes:
Hal Hamilton, Founder, Verdant Energy (Credit Seller)
"This auction far exceeded our expectations. Initially we were skeptical
as to whether an auction would work, since the market for carbon offsets and
emissions reductions transactions is still emerging. World Energy certainly
delivered. They gave us a real time view into pricing, vetted the bidders, set
up the transaction and ultimately delivered significant revenue to our bottom
Jeff MacLean, Director, Coal Supply, Maxim Power Corporation (Winning
"Maxim is in the business of acquiring or developing innovative and
environmentally responsible power projects, and much of our past success has
been a result of seeing opportunities where others didn't. In this case, we
saw an opportunity to offset environmental impacts and to improve our bottom
line, and this auction enabled us to successfully achieve both objectives."
Dave LaBarre, President, Baseline Emissions Management
"Emissions reduction is a very topical issue in Canada right now, and an
auction like this demonstrates how project owners with the ability to reduce
emissions can help the environment through market-driven forces. Ultimately,
they save money and, in this case, spur development in renewable energy, thus
it's a win-win for both sides."
Phil Adams, President and COO, World Energy
"We're extremely pleased with the results of this event. Our market
expertise, combined with the proven technology of our World Green Exchange
platform, provided a transparent and liquid transaction that benefited both
Verdant and the winning bidders. With our history of success in green power
procurements and pioneering events in the VER and REC markets, this Alberta
win reinforces our position as an emerging leader in the environmental
About World Energy Solutions, Inc.
World Energy operates leading online exchanges for energy and
environmental commodities. Our proven approach provides market intelligence,
promotes liquidity, and creates price transparency for all market
participants, enabling our customers to transact with confidence and to seek
the best possible price. To date, the company has transacted over
40 billion kwh of electricity, 700 million kwh of green power and Renewable
Energy Certificates (RECs) and one trillion cubic feet of natural gas. For
more information, please visit www.worldenergy.com.
This press release contains forward-looking statements that are subject
to risks and uncertainties that could cause actual results to differ from
those indicated in the forward-looking statements. Such risks and
uncertainties include, but are not limited to: our revenue is dependent on
actual future energy purchases pursuant to completed procurements; the demand
for our services is affected by changes in regulated prices or cyclicality or
volatility in competitive market prices for energy; we depend on a small
number of key energy consumers, suppliers and channel partners; there are
factors outside our control that affect transaction volume in the electricity
market; and there are other factors identified in our Annual Report on Form
10-K and subsequent reports filed with the Securities and Exchange Commission.
For further information:
For further information: Investor Relations: Phil Adams, World Energy
Solutions Inc., (508) 459-8100, firstname.lastname@example.org; or Craig Armitage, The
Equicom Group, (416) 815-0700 x278, email@example.com; Media
Relations: Julie Crotty, Horn Group, (781)-356-7100, firstname.lastname@example.org