LCFS Credit Clearance Market
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The LCFS includes a provision for holding a Credit Clearance Market (CCM) that provides additional compliance flexibility to regulated parties who have not met their previous year-end obligation. The CCM increases market certainty regarding maximum compliance costs, strengthens incentives to invest in and produce low-CI fuels, and reduces the probability of credit shortfalls and price spikes.
The LCFS regulation established the maximum price for credits acquired, purchased or transferred in CCM at $200 in 2016, and it requires that this price be adjusted by a Consumer Price Index (CPI) deflator in all years subsequent to 2016. The table below shows the maximum credit price determined for CCM in the past years and whether a CCM took place in each year.
LCFS Credit Clearance Market Information
| CCM Year | Maximum Credit Price* | CCM Held | Credits Purchased in CCM | Maximum Credit Price applies to all credit transfers executed in the LRT-CBTS |
|---|---|---|---|---|
| 2016 | $200.00 | Yes | 337 | N/A |
| 2017 | $205.40 | No | Not Applicable | N/A |
| 2018 | $209.92 | No | Not Applicable | N/A |
| 2019 | $213.07 | No | Not Applicable | N/A |
| 2020 | $217.97 | No | Not Applicable | Effective June 1, 2020 |
| 2021 | $221.67 | No | Not Applicable | Effective June 1, 2021 |
| 2022 | $239.18 | Yes | 10,221 | Effective June 1, 2022 |
| 2023 | $253.53 | No | Not Applicable | Effective June 1, 2023 |
For more information on relevant CCM dates, please refer to the Reporting, Verification & Annual Compliance Calendar.
LCFS Compliance and Credit Clearance Market Information
- 2022 LCFS Compliance Information and Credit Clearance Market Information
- 2021 LCFS Compliance Information and Credit Clearance Market Information
- 2020 LCFS Compliance Information and Credit Clearance Market Information
- 2019 LCFS Compliance Information and Credit Clearance Market Information
- 2018 LCFS Compliance Information and Credit Clearance Market Information
- 2017 LCFS Compliance Information and Credit Clearance Market Information
- 2016 LCFS Compliance Information and Credit Clearance Market Information
- 2015 LCFS Compliance Information and Credit Clearance Market Information