What: “Challenges in Carbon Accounting: Are You Ready?
Who: Steve Engler, director, Carbon Management Services, Deloitte & Touche LLP
Mike Rohrig, partner, Deloitte & Touche LLP
Matt Davis, senior manager, Deloitte & Touche LLP
When: Available immediately
Where: http://www.deloitte.com/us/carbonaccounting
Details: The development of carbon markets worldwide has created a host of challenges for companies – and of these challenges, accounting is among the least understood. Europe still has not reached consensus on how to account for emission allowances and carbon traders in the United States have only started to grapple with the accounting issues of an already complex and unfamiliar market. Moreover, as carbon markets evolve and incorporate new elements, additional accounting challenges will continue to emerge.
Deloitte’s new point of view seeks to address some of the common accounting questions that companies will need to address as carbon legislation impacts their operations. Specifically, Deloitte discusses accounting for the following topics:
1. Emission allowances
2. Obligations
3. Presentation of allowances and obligation
4. Forward emission contracts
The paper also provides an example that demonstrates the different accounting results that can exist as companies individually develop accounting policies in the absence of explicit and authoritative literature. For discussion purposes, the concepts included in the paper assume a “cap-and-trade” type program that may include free allocation of allowances, auctioning of allowances, or a combination of both.
To speak with Steve Engler, Mike Rohrig and Matt Davis about new challenges in carbon accounting, please contact Cory Ziskind at +1 212-492-4408 or [email protected]; or Jon Rucket at +1 713 982 4217 or [email protected].
About Deloitte
As used in this document, “Deloitte” means Deloitte LLP and Deloitte Services LP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries.
