News
Markit Group LTD to Provide Registry Services
to Bay Bank
August 27, 2009
The Pinchot Institute for Conservation has selected Markit Environmental Registry to serve as the ecosystem credit and conservation program registry for the Bay Bank. The Markit Registry will track credits and other market-based investments developed through Bay Bank and by its partners. Markit will begin registering habitat conservation, water quality protection, and forest conservation credits in early 2010. The registry will also track investments in conservation programs like the joint USDA NRCS/Bay Bank Cooperative Conservation Partnership Initiative.
A multiple market registry provides a number of important advantages over single-market registries. Ecosystem markets do not operate in isolation from one another-one conservation action has the potential to develop credits for sale in multiple market spaces. For example, a riparian forest buffer may generate nutrient reduction credits, carbon credits, and habitat credits. A registry is a key infrastructure component to begin accounting for the “bundling” or “stacking” of multiple credit types. If market rules prohibit the generation of multiple credit types from one conservation action, a registry will be critical for ensuring that the same credits are not paid for twice (i.e., “double-dipping”). This independent third party registry will therefore bring visibility, robustness, and transparency to the Bay Bank market participants.
The Bay Bank will seamlessly integrate the Markit Registry into its online Marketplace. Buyers can setup accounts, enter the marketplace, and see a listing of available credits in each market area. In the first phase of the Bay Bank marketplace, credit sales will be conducted through private negotiations between the buyer and seller. All sales transactions will be then be reported to the Markit registry where they can be banked or retired.
