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Swedish Refiner Preem May Need to Buy 10% of Carbon From 2013

Preem AB, Sweden’s largest oil refiner, may need to buy at least 10 percent of its European Union carbon allowances in the eight years through 2020, after receiving permits for free through this year.

“Beginning in 2013, we may be required to purchase a minimum of 10 percent to 20 percent of our total emission allowance requirements in order to comply with the stipulated environmental regulations,” according to its 2011 annual report published today on the company’s website.

Preem expects the 2.5 million metric tons of allowances it received annually in the five years through 2012 to be sufficient to cover its emissions, it said.

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