Emissions Trading / Carbon Market News (2018-07-30)

Dear Sir or Madam,

Scientists from the World Weather Attribution network have analyzed data from several European countries since the beginning of the previous century, including the three warmest consecutive days of each year. In the process, they have come to the conclusion that climate change has doubled the chance of heat waves currently prevailing in much of Europe. The global trend towards extreme weather events continues to increase. In the opinion of the scientists a rapid exit from fossil energy production is indispensable.

The German Federal Government is currently examining whether it should limit the currently unrestricted priority of renewable energies over fossil energy generation in grid feed-in. This should reduce the cost of maintaining grid stability. In the past year, these amounted to more than one billion euros, as electricity with a negative electricity price had to be sold to neighboring countries. Grid expansion is lagging significantly behind the production of renewable energies, as the major power lines to the south will be completed in a few years’ time.

On Tuesday of last trading week, the price of European CO2 emission rights marked a new seven-year high at € 17.59 per tonne. In the following days, prices fell again slightly and closed with a small plus compared to the previous week.

 

(Average Quotes Exchange / OTC)      
Instrument 2018-07-20 2018-07-27 Change
EUA (Spotmarket) 17.04 EUR 17.08 EUR +0.04 EUR
EUA (December-2018-Future) 17.07 EUR 17.12 EUR +0.05 EUR
CER (Spotmarket) 0.33 EUR 0.28 EUR -0.05 EUR
ICE Brent Crude Oil (Benchmark Future) 72.99 USD 74.87 USD +2.88 USD
EURO (Currency, Forex) 1.1725 USD 1.1653 USD -0.0072 USD

(The average exchange quotes and OTC-prices shows the average between bids and ask of several exchanges and OTC markets for carbon emission rights in the ETS. Bid and ask has usually in Spot Market a visible spread. CER CP1 and ERU are eligible in ETS until end of March 2015 and must be swapped into EUA. Crude Oil and Euro Currency shows day-end-exchange quotes. This market information has just an informational character and are no advice or offer to trade carbon emission rights or their futures and options. If you want to unsubscribe, please reply to this mail.)

Please call our international carbon desk if any further questions exist: +49.2831.1348220 or +44.20.79790283.

 

With kind regards,

Advantag Services GmbH

Emissions Trading / Carbon Market News (2018-07-23)

Dear Sir or Madam,

Central Europe currently forms a heat core, which places usual weather conditions in the unfortunately rarely existing shade. For this purpose, the forest fires in Sweden serve as a definite signal. The fires rage even north of the Arctic Circle, where at 34.5 degrees an “eternal” heat record was struck.

With no prospect of a refreshing rain shower, temperatures of up to 36 degrees Celsius are expected for days throughout this week. The forecasts even in the Alps and on the coasts see the 30 degree mark being exceeded. Even the nights are expected to be “tropical”, meaning that it will not cool below 20 degrees; and since it is nearly windless at the same time in many places, it actually becomes necessary to speak again about dangerously high ozone levels in the air.

Not less superlatives we faced in the past trading week on the market for emission rights. Despite a massive bid in the five auctions and regardless of falling oil prices, the price of EUAs climbed to a high of EUR 17.24 in the December contract. From now on, chart analysts will probably have to look back more often back to the start of emissions trading in 2008 in order to find comparable values ??for possible price developments.

 

(Average Quotes Exchange / OTC)      
Instrument 2018-07-13 2018-07-20 Change
EUA (Spotmarket) 16.02 EUR 17.04 EUR +1.02 EUR
EUA (December-2018-Future) 16.06 EUR 17.07 EUR +1.01 EUR
CER (Spotmarket) 0.25 EUR 0.33 EUR +0.08 EUR
ICE Brent Crude Oil (Benchmark Future) 74.97 USD 72.99 USD -1.98 USD
EURO (Currency, Forex) 1.1683 USD 1.1725 USD +0.0042 USD

(The average exchange quotes and OTC-prices shows the average between bids and ask of several exchanges and OTC markets for carbon emission rights in the ETS. Bid and ask has usually in Spot Market a visible spread. CER CP1 and ERU are eligible in ETS until end of March 2015 and must be swapped into EUA. Crude Oil and Euro Currency shows day-end-exchange quotes. This market information has just an informational character and are no advice or offer to trade carbon emission rights or their futures and options. If you want to unsubscribe, please reply to this mail.)

Please call our international carbon desk if any further questions exist: +49.2831.1348220 or +44.20.79790283.

 

 

With kind regards,

 

Advantag Services GmbH

 

 

 

 

 

Emissions Trading / Carbon Market News (2017-07-16)

Dear Sir or Madam,

According to the Federal Association of the Energy Industry (BDEW), a total of 118 billion kilowatt hours were generated by renewable energies in Germany in the first half of 2018. The share of the total German electricity production was 36%, whereby for the first time more green electricity than coal flow was produced. Compared with the previous year, renewable energies saw another increase of 10%.

Last Wednesday, interest in the auction of 4,593,500 EUA British EUA on the London ICE was so low that the auction was unsuccessful. Also, the EU auction last Friday could not enjoy a high demand, but was successfully carried out at a price of 15.80 euros; Twenty-one bidders were pleased with the bid.

Despite the weakening auction demand in the past week, the EUA could continue to gain compared to the previous week and closed on Friday just above the mark of 16 euros.

This week again auctions with a total volume of 21,504,000 EUA will be carried out at the Leipzig EEX. In addition, 3.547 million EUA from Polish contingent are to be found on Wednesday, as well as 4.36 million pieces for Germany customers on Friday.

The new week starts on the secondary market with a significant gain of more than one percent on this Monday morning.

 

(Average Quotes Exchange / OTC)      
Instrument 2018-07-06 2018-07-13 Change
EUA (Spotmarket) 15.68 EUR 16.02 EUR +0.34 EUR
EUA (December-2018-Future) 15.70 EUR 16.06 EUR +0.36 EUR
CER (Spotmarket) 0.25 EUR 0.25 EUR +0.00 EUR
ICE Brent Crude Oil (Benchmark Future) 77.10 USD 74.97 USD -2.13 USD
EURO (Currency, Forex) 1.1745 USD 1.1683 USD -0.0068 USD

(The average exchange quotes and OTC-prices shows the average between bids and ask of several exchanges and OTC markets for carbon emission rights in the ETS. Bid and ask has usually in Spot Market a visible spread. CER CP1 and ERU are eligible in ETS until end of March 2015 and must be swapped into EUA. Crude Oil and Euro Currency shows day-end-exchange quotes. This market information has just an informational character and are no advice or offer to trade carbon emission rights or their futures and options. If you want to unsubscribe, please reply to this mail.)

Please call our international carbon desk if any further questions exist: +49.2831.1348220 or +44.20.79790283.

 

With kind regards,

Advantag Services GmbH

 

 

 

 

 

Emissions Trading / Carbon Market News (2018-07-09)

Dear Sir or Madam,

A breakup of the grand coalition in Germany seems to have been averted, not least because the SPD, in view of bad poll numbers, also has no interest in new elections and has grudgingly accepted the asylum compromise.

An unstable Germany in a weakened Europe would probably be in the interest of Donald Trump, who has expressed the view that the European Union was merely founded to weaken the US economically.

The German benchmark index DAX has taken note of the agreement in Berlin sympathetically and gained more than 200 points in the past week and also the euro shows itself against the US dollar again slightly in the plus.

Despite weaker oil prices, prices for European CO2 emission allowances rose sharply by just under 5% in the previous trading week, but this is also explained by the increased energy consumption caused by the continual high temperatures in Europe.

This week, 12,639,000 new EU certificates and 4,360,000 EUAs from German contingents will be auctioned at the Leipzig EEX on Friday. On Wednesday, 4,593,500 UK EEA will be auctioned on the London ICE, bringing the total to 21,592,500 new allowances this week.

In August, the summer break is again with a halved auction volume, and this is known to all market participants scarcity is already priced in the current prices.

 

(Average Quotes Exchange / OTC)      
Instrument 2018-06-29 2018-07-06 Change
EUA (Spotmarket) 14.98 EUR 15.68 EUR +0.70 EUR
EUA (December-2018-Future) 14.99 EUR 15.70 EUR +0.71 EUR
CER (Spotmarket) 0.23 EUR 0.25 EUR +0.02 EUR
ICE Brent Crude Oil (Benchmark Future) 79.07 USD 77.10 USD -1.97 USD
EURO (Currency, Forex) 1.1683 USD 1.1745 USD +0.0062 USD

(The average exchange quotes and OTC-prices shows the average between bids and ask of several exchanges and OTC markets for carbon emission rights in the ETS. Bid and ask has usually in Spot Market a visible spread. CER CP1 and ERU are eligible in ETS until end of March 2015 and must be swapped into EUA. Crude Oil and Euro Currency shows day-end-exchange quotes. This market information has just an informational character and are no advice or offer to trade carbon emission rights or their futures and options. If you want to unsubscribe, please reply to this mail.)

Please call our international carbon desk if any further questions exist: +49.2831.1348220 or +44.20.79790283.

 

With kind regards,

Advantag Services GmbH

Emissions Trading / Carbon Market News (2018-07-02)

Dear Sir or Madam,

the relationship between the two German sister parties CDU and CSU is more than tense and it is currently extremely unclear how it will continue in the future. After lengthy meetings in Munich and Berlin, the current Federal Interior Minister has thrown his resignation from the post of Federal Minister and the CSU leadership in the balance, this decision, however, postponed again. What may seem like a victory for the Chancellor is, in fact, a defeat for the ruling coalition, and its position is as high as it has ever been in its 13-year chancellorship.

Rarely does the economy, including the Bavarian economy, position itself behind the position of Angela Merkel, as continuity and cohesion in Europe is an important basis for economic success. Whatever the coming days bring, a stormy autumn on the political level seems to be guaranteed.

In the past week, EU member states have come to a compromise with the EU Parliament on renewable energy and energy efficiency in climate protection. The recast of the Energy Efficiency Directive sets an energy saving target of at least 32.5 per cent by 2030, which is significantly higher than the 27 per cent proposed so far. Among other things, the share of renewable energies in the transport sector is set to increase to 14 percent by 2030, and thus be doubled.

Four variants of biomass or renewable electricity may be used: biofuels from crops such as corn or oilseed rape, biofuels from waste and residues such as straw or edible oils, electricity from renewable energies and synthetic fuels from renewable energy. The share of conventional biofuels from arable crops in total energy consumption in the transport sector should remain at a maximum of 7 percent, as in the past. Member States may now also be allowed to impose less than seven percent of the share of conventional biofuels without compensating elsewhere. The German government wants to count the proportion of conventional biofuels only up to a maximum share of 5.3 percent.

Last week, European CO2 emission allowances ranged from € 14.75 to € 15.38 and ended the first half of 2018 just below the € 15 mark last Friday. Market participants are likely to pay close attention to auction demand and energy market prices this week, but also have an eye on political developments in Germany.

 

(Average Quotes Exchange / OTC)      
Instrument 2018-06-22 2018-06-29 Change
EUA (Spotmarket) 15.09 EUR 14.98 EUR -0.11 EUR
EUA (December-2018-Future) 15.12 EUR 14.99 EUR -0.13 EUR
CER (Spotmarket) 0.23 EUR 0.23 EUR +0.00 EUR
ICE Brent Crude Oil (Benchmark Future) 75.71 USD 79.07 USD +3.36 USD
EURO (Currency, Forex) 1.1653 USD 1.1683 USD +0.0030 USD

(The average exchange quotes and OTC-prices shows the average between bids and ask of several exchanges and OTC markets for carbon emission rights in the ETS. Bid and ask has usually in Spot Market a visible spread. CER CP1 and ERU are eligible in ETS until end of March 2015 and must be swapped into EUA. Crude Oil and Euro Currency shows day-end-exchange quotes. This market information has just an informational character and are no advice or offer to trade carbon emission rights or their futures and options. If you want to unsubscribe, please reply to this mail.)

Please call our international carbon desk if any further questions exist: +49.2831.1348220 or +44.20.79790283.

 

With kind regards,

Advantag Services GmbH