ACCU prices have seen a recent uptick as companies under Australia's safeguard mechanism finalize their balance sheets. Demand for compliance credits has grown significantly, rising from 1.2 million units in 2022-23 to 13.4 million in the most recent period. However, long term supply remains a concern. With the government tightening emission limits through 2035 and phasing out key methodologies like avoided deforestation, the market faces a potential gap between rising regulatory demand and the viability of new projects.
