ICF Consulting: Current NOx Allowance Prices Will Rise
The study, which ICF announced on Feb. 28, indicates that in the short term, NOx prices will remain near current levels because of the large amount of control measures in place (existing and planned) to reduce NOx emissions. These controls will continue to depress the demand for NOx allowances through 2002. Thereafter, NOx allowance prices will rise dependent upon the regulatory regime put in place, according to ICF Consulting,
The "NOx Allowance Market Outlook" offers ICF Consulting's views and insights on allowance prices and markets through the year 2015. The study includes price forecasts and compliance decisions under a variety of alternate potential NOx regulatory scenarios:
The "NOx Allowance Market Outlook" study examines the engineering and economic fundamentals that will drive the NOx allowance market in the future. The study also explores the relationship between the current OTR NOx market and alternative future NOx regulations, including the current New Source Review debate.
ICF Consulting said its "NOx Allowance Market Outlook" also sheds light on the significant regulatory uncertainty now facing compliance planners in the Northeast, Midwest, and Southeast. The study is said to go beyond simple sensitivity analysis, providing an in-depth assessment of upcoming air regulatory developments.
"In our last NOx Outlook, published in November 1998," said John Blaney, senior vice president of ICF Consulting, "we challenged conventional wisdom, asserting that allowances were significantly overvalued. Given current market conditions, it is clear that our assessment was accurate. Our current analysis indicates that the market has overcompensated and that long-term prices are artificially low."
For information about purchasing the study, call Nathan Collamer at 703-218-2554.
ICF Consulting, with more than 30 years of experience, is a professional services firm assisting clients in managing global resources in a sustainable way. ICF Consulting helps clients optimize energy resources, meet environmental challenges, foster economic and community development, enhance transportation projects and policies, and manage information technology resources. ICF Consulting has more than 750 employees based in Fairfax, VA, and in 18 other offices in the U.S. and abroad.
Contact: ICF Consulting, Douglas Beck. Tel: 703-934-3820.
Edited by Paul Hersch