BANKING ON THE EMISSIONS TRADE

Morgan Stanley joins Citigroup, Credit Suisse and Merrill Lynch, among other movers and shakers, in getting into this market. These guys don’t play with fads. Clearly, they are anticipating the introduction of more mandatory markets like the ones in Europe and Japan.

Morgan Stanley Launches Carbon Bank to Help Customers Become Carbon Neutral
August 14, 2007 (AP via Yahoo Finance)
and
Morgan Stanley sets up carbon neutral service
August 14, 2007 (Reuters)

WHO
Investment bank Morgan Stanley, Det Norske Veritas, international provider of emissions data certification

As far back as 2004, Morgan Stanley was winning acknowledgement of its work in emissions markets. (click to enlarge)

WHAT
The Morgan Stanley Carbon Bank will assist clients seeking to offset emissions. Det Norske will certify the offsets.

WHEN
Announcement August 14.

WHERE
Announcement in New York, available to Morgan Stanley clients worldwide.

At the same time, Det Norske Veritas (DNV) was winning acknowledgement for its work in offset verification. (click to enlarge)

WHY
- The Greenhouse Gas Protocol Initiative, a 10-year standard set up jointly by the World Resources Institute and the World Business Council for Sustainable Development. will be used to calculate emission offsets.
- Morgan Stanley has indicated a $3 billion interest in environmental projects.
- Morgan Stanley’s commodities group will offer a selection of emissions-reducing options and handle the credits for the client. MGM International, which Morgan Stanley owns 38% of, is also involved in carbon-trading.

QUOTES
Olivia Hartridge, Morgan Stanley: "It's important the voluntary market expands on a responsible basis to provide confidence these markets work…DNV provides the quality assurance part and Morgan Stanley takes care of the offsetting and cancellation."