Germany and the UK have led a European resurgence in wind electricity generation in early 2026, as a predicted coal rebound, amid surging gas prices, has failed to materialise in the opening four months of the year.

Scotland-based Plan Vivo launched on Monday a public consultation on a new grassland management tool suite under its climate standard, marking the certifier’s latest push to expand carbon accounting methodologies for complex land-based ecosystems.

Phase 1 CORSIA prices fell sharply again last week, with spot prices for the UN international aviation offsetting scheme bid slipping below $11, while futures contracts slipped to lows not seen for two years after a meeting of EU leaders raised doubts about demand.

European carbon prices marginally lower on Monday despite steady demand, as positive - if not yet bullish - sentiment on the EU ETS price outlook was overcome by a noticeable increase in geopolitical tensions after the US and Iran rejected each other's proposals for peace negotiations.

Italian ETS compensation plans - taly’s energy regulator has begun work to develop a mechanism to compensate gas-fired power plants facing high costs, pending approval from the European Commission, Montel reports. Italian energy regulator Arera said Monday that the process would run alongside talks with the European Commission on how to fast-track the scheme if Brussels gives its approval. Under the proposal, grid operator Terna would determine compensation levels using projected electricity price differences between Italy and neighbouring markets, aiming to maintain the country’s net power imports and limit disruptions to cross-border electricity flows. Arera added that reimbursement rates would be updated monthly or seasonally to account for changing market conditions over the course of the year. The regulator also said the costs of the scheme would ultimately be borne by consumers benefiting from lower wholesale electricity prices, while power plants receiving compensation would be required to incorporate the payments into their market bids. The country announced earlier this year it would prepare a compensation scheme for gas-fired power plants as part of broader efforts to lower electricity prices and shield consumers from high energy costs. Under the proposed mechanism, the government would reimburse gas generators for certain fuel transport charges and potentially for costs linked to the EU Emissions Trading System (ETS), which are normally passed on through wholesale power prices.

UAE gas bypass - The United Arab Emirates is accelerating construction of a second oil pipeline designed to bypass the Strait of Hormuz, with completion targeted for 2027, as Gulf states seek to reduce vulnerability to regional conflict and shipping disruptions, the Guardian reports. The project, led by the state oil company ADNOC, will expand export capacity through the port of Fujairah on the Gulf of Oman, allowing more crude shipments to avoid the strategic waterway through which about a fifth of global oil passes. The move comes amid heightened tensions involving Iran and repeated threats to maritime traffic in the strait, which have rattled energy markets and exposed the risks of dependence on the narrow shipping corridor. The UAE already operates one pipeline to Fujairah but aims to double bypass capacity under the new project. Analysts say the expansion reflects a broader regional push to strengthen energy security and protect exports from geopolitical instability.

A former stalwart of the UNFCCC has become the head of a non-profit data provider that connects carbon credit registries worldwide.

ECB push for “genuine energy union” – The European Central Bank (ECB) has called for the creation of a “genuine European Energy Union” among the EU27 to cut costs, boost energy security, and drive the bloc's decarbonisation. In a new paper, the ECB warns that the EU’s heavy reliance on imported fossil fuels and fragmented energy markets is undermining industrial competitiveness and leaving the bloc exposed to repeated energy shocks. European manufacturers face structurally higher and more volatile gas and electricity prices than key competitors, the paper points out, saying that better‑coordinated deployment of renewables could raise average solar and wind output by about 42% and 110% respectively compared with a low-coordination scenario. It identifies five EU‑level priorities: more cross‑border grid investment, innovative green finance, flexibility tools like storage and digitalised grids, more efficient and harmonised energy taxation, and a cohesive industrial policy to scale clean-tech manufacturing and strengthen strategic autonomy.

The European Commission’s action plan for fertilisers due on Tuesday will land amid renewed scrutiny of the sector after an investigation found executives and investors at major agribusiness firms sold more than $66 million in shares during war-driven price spikes.

A new systematic review of governance practices has identified 12 key principles that could improve the sustainability, equity, and long-term success of community-based marine restoration projects.

Germany is poised to miss its 2030 climate goals by a far wider margin than previously expected, according to a new warning from the country’s independent climate advisory council.

A carbon standard has unveiled a new protocol designed to improve how soil-based removal projects are measured and verified.

The European Parliament has appointed a Socialists and Democrats (S&D) lawmaker to steer a proposal to adjust the Market Stability Reserve (MSR), a key tool governing allowance supply in the EU carbon market, and has opted against accelerating the usual legislative process.

Greek aid for energy intensives – Greece will be able to support lower electricity levies for energy-intensive companies with €405 mln, an intervention greenlighted by the EU Commission on Monday. The scheme aims to reduce the risk of carbon leakage. Eligible beneficiaries, listed in Annex 1 of the 2022 Guidelines on State aid for climate, environmental protection and energy (CEEAG), will receive a levy reduction between 75 and 85%, depending on their risk exposure. The applicable reduction may not result in a levy below 0.5 €/MWh. Beneficiaries will have to implement certain energy audit recommendations, invest at least 50% of the aid in projects leading to substantial reductions of the installation's greenhouse gas emissions, or cover at least 30% of electricity consumption with carbon-free sources. The scheme will apply retroactively from Jan. 1, 2024 and run until Dec. 31, 2026. This aid replaces an earlier similar scheme, approved in 2018.

African countries with major forest resources should be able to use international carbon markets to finance nature protection, the head of a Tanzania-based forestry project developer told Carbon Pulse.

Chemical reaction – Ineos, a chemicals conglomerate chaired by British billionaire James Ratcliffe, has invested €200 mln in a collection of other chemical companies, the FT reported on Monday. The London-headquartered company said its move, seen as unusual given challenging market dynamics for the sector, is a reaction to an undervaluation of chemical producer companies. Ineos has not disclosed which companies it has invested in.

Technically sound - A UK facility aiming to convert renewable methanol into more than 200,000 tonnes of sustainable aviation fuel (SAF) annually has completed its pre-front end engineering design (pre-FEED) stage on time and on budget, according to a press release Monday. Essar Energy Transition's fuel production hub is integrated within the Stanlow refinery on the outskirts of Liverpool in northwest England. Locating it there enables the SAF produced to be blended with the company's production of conventional jet fuel and to use the existing export infrastructure, including pipeline and road distribution to supply UK aviation. The Pre-FEED included technical and commercial evaluations of the project and reconfirmed that the project offers a credible advanced SAF opportunity. Financial close is expected by the start of 2028.

Standard climate risk tools across financial markets materially understate physical climate risk, despite climate hazards already causing investors financial loss, according to think tank analysis of the climate risk strategy of Norway's sovereign wealth fund.

The UK should bring forward the planned extension of its Emissions Trading System (ETS) to international maritime emissions to 2027, from 2028, a coalition of transport, environmental, and clean fuel organisations said Monday.

The first meaningful supply of carbon credits traded under the Paris Agreement’s Article 6 mechanism will only emerge closer to 2030, as countries build the accounting and regulatory infrastructure needed to authorise trades, according to two UNEP officials.

Saudi Arabia will soon be ready to produce green hydrogen-derived ammonia for a fraction of the costs currently seen in Europe, but slow EU policy implementation and trade bottlenecks are still holding back large-scale offtake and investment decisions, according to Acwa, a Saudi-listed developer.

Irish airline Ryanair has reported it has now hedged its entire EU and UK ETS position for the next financial year at a higher price, compared with a year ago.

New NbS firm - Verdara, a new Saudi-based forestry and climate platform, has launched to develop nature-based carbon removal projects across Africa, its founder and CEO Habib Bukhamseen said last week on social media. The company is starting with an initial afforestation, reforestation, and revegetation (ARR) programme covering more than 50,000 hectares and has a 15-year ambition to reach 1 mln hectares. Its first project announcement is expected soon, Bukhamseen said on LinkedIn.

Environmental campaigners are optimistic that the UN General Assembly will vote on Wednesday to adopt a resolution to endorse last year’s historic International Court of Justice (ICJ) advisory opinion on climate change, which found that states have a legal obligation to cut GHG emissions.

The UN’s climate secretariat has launched test versions of registries to facilitate the transfer and trade of emissions reduction units under the Article 6 mechanisms, with a view to launching the final systems at the end of the year.