DATA DIVE: Asia gas premium over Europe to filter in support for EUAs, say analysts
Increased demand for LNG from Asian buyers should squeeze European natural gas prices, boost coal in the EU power mix, and feed some support for EUAs over the spring and summer, according to analysts, though any fuel switching demand from electricity production would also likely come in the face of a tough conditions for industrials amid high energy costs.
Read MoreBRIEFING: Waste incinerators face potential EU ETS inclusion from 2030 “at the earliest”
The European Commission is weighing three options to tackle CO2 emissions from municipal waste incinerators, with a potential inclusion in the EU’s Emissions Trading System (ETS) not envisaged until 2030 “at the earliest”, a senior EU official has said.
Read MoreEU states back counting Article 6 credits towards CBAM payments
EU member states signaled international carbon credits should be recognised as a CO2 price paid in foreign countries when calculating importers’ Carbon Border Adjustment Mechanism (CBAM) liabilities, according to a draft joint position that also proposes a two-year limit for any temporary suspension of goods.
Read MoreReform proposals of EU ETS supply reserve and free allocation benchmarks confirmed for Apr. 1
The European Commission will propose changes to the Market Stability Reserve (MSR) in the EU’s Emissions Trading System (ETS) on Apr. 1, two officials told Carbon Pulse, saying the plan will be presented alongside updated benchmarks steering the allocation of free CO2 permits to industry.
Read MoreFEATURE: Italian govt confident energy decree will be approved, but experts disagree
Italian Prime Minister Giorgia Meloni said last week she believes a national energy decree reimbursing gas power plants for their carbon costs will be approved by the European Commission, but experts say it is unlikely to get the green light under EU state aid rules.
Read MoreCarbon taxes can curb emissions but squeeze profits in complementary goods supply chains, study finds
Carbon tax policies can effectively drive emissions reductions across supply chains, but may simultaneously erode profitability and weaken incentives for deeper decarbonisation in markets dominated by complementary products, according to new academic research.
Read MoreEuro Markets: EUAs resume climb in light trading as energy markets surge, equities dip
European carbon prices shrugged off Wednesday’s headline-triggered dip and resumed their recent climb amid relatively light trading, while energy markets also surged higher amid contradictory reports about peace talks with Iran and continued military strikes on targets on either side of the Persian Gulf.
Read MoreEU’s 2040 climate goal at risk as Brussels mulls softer ETS, campaigners warn
The European Union risks losing sight of its 2040 climate target as it prepares to negotiate plans this summer to soften the bloc’s Emissions Trading System (ETS), an NGO has warned.
Read MoreBRIEFING: Periods of conflict heighten two-way causal relationship between coal prices, EUAs
A dynamic, two-way relationship often emerges between coal and EU Allowance (EUA) prices during instances of acute geopolitical conflict, as the war in the Middle East continues to show signs of further escalation, according to peer-reviewed analysis.
Read MoreEU ceramic industry calls for urgent ETS relief
Conclusions adopted by the European Council on the EU Emissions Trading System (ETS) mark a step towards longer-term progress but fall short of addressing immediate industry challenges, the European ceramic sector said this week.
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