Industry commenters were concerned that the CFTC might determine that environmental commodities such as Renewable Energy Credits (RECs), emissions allowances and carbon offsets might be classed as swaps.

Developers and traders would have been required to post collateral on an exchange, potentially in the region of 5%-25%. Liquidity for project development earned through RECs trading would have been severely limited.

The CFTC issued its delayed final ruling last week and said that trading in forward contracts for environmental commodities would not be defined as swaps in the same way as other non-financial commodities such as derivatives.