Month: April 2019

Dear Sir or Madam,

Meanwhile, the grand coalition in Germany seems to find a consensus on a CO2 tax. The Federal Ministry of Economics also anticipates future pricing of CO2 emissions. In particular, fossil fuels are in the focus of the governing parties, which would increase the prices of heating oil, gas and fuels. However, the funds raised by this should be redistributed socially acceptable. Vice-President of the European Commission and PES candidate Frans Timmermanns also advocate Europe-wide pricing of CO2 in order to stimulate traffic and buildings. Whether other sectors should be included, is still unclear.

In the shortened trading week after the Easter holidays, prices for European CO2 emission allowances fell slightly, closing below the € 26 / ton mark last Friday. That now the majority of the taxable companies should now have covered with certificates, will also have played a role here. In the past week, 12.6 million EUA were launched in the EEX auctions, with 10,694,000 EUAs in this week, also reduced by the May day.

(Average Quotes Exchange / OTC)
Instrument	2019-04-18	2019-04-26	Change
EUA (Spotmarket)	26.81 EUR	25.77 EUR	-1.04 EUR
EUA (December-2019-Future)	26.89 EUR	25.85 EUR	-1.04 EUR
CER (Spotmarket)	0.25 EUR	0.22 EUR	-0.03 EUR
ICE Brent Crude Oil (Benchmark Future)	71.98 USD	71.59 USD	-0.39 USD
EURO (Currency, Forex)	1.1259 USD	1.1145 USD	-0.0114 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

Dear Sir or Madam,

Even during the third week of April, the carbon market remained unchanged in the hands of the bulls. This is traditionally the case, since for all companies included in the ETS the deadline for the compliance to surrender allowances ends. However, the price level of European pollution rights this year is spectacular. Since the beginning of the month, the market has gained up to six euros and has been relatively stable for two weeks within a price range between 26 and 28 euros.

However, already at the premature weekly close last Thursday, a number of traders took their profits in view of the upcoming holiday period, pushing the price down by just one euro compared to the peak at EUR 27.85. Against this background and with a comparatively full auction calendar, the price is likely to consolidate further this week.

(Average Quotes Exchange / OTC)
Instrument	2019-04-12	2019-04-19	Change
EUA (Spotmarket)	26.49 EUR	26.81 EUR	+0.32 EUR
EUA (December-2019-Future)	26.58 EUR	26.89 EUR	+0.31 EUR
CER (Spotmarket)	0.24 EUR	0.25 EUR	+0.01 EUR
ICE Brent Crude Oil (Benchmark Future)	71.79 USD	71.98 USD	+0.19 USD
EURO (Currency, Forex)	1.1298 USD	1.1259 USD	-0.0039 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

Dear Sir or Madam,

The EU gives Britain half a year more time, thus preventing a disorderly Brexit for the time being. By 31.10.2019 at the latest, the British are now out of the EU. The 29.03.2019 was originally the planned exit date, but the EU has already granted an extension until last Friday.

Now that a chaotic no-deal Brexit is off the table for at least a couple of months, CO2 emissions rights rose sharply last week, reaching an 11-year high. At the top, the December 2019 future was € 27.85 per EUA last Friday, but the trading session was visibly down again. On a weekly basis, an increase of 8% to EUR 26.58 on the futures market ultimately remained.

Even though in the current trading week at 7,485,000 EUA, due to Good Friday, only about half of the previous week’s auction volume will be auctioned at the Leipzig EEX, the overbought market would need time to breathe. In spite of Easter Monday, 12,627,500 emission allowances will be auctioned again in the coming trading week, since in addition to the EU auctions, EUAs will also be offered from German and Polish contingents.

(Average Quotes Exchange / OTC)
Instrument	2019-04-05	2019-04-12	Change
EUA (Spotmarket)	24.52 EUR	26.49 EUR	+1.97 EUR
EUA (December-2019-Future)	24.60 EUR	26.58 EUR	+1.98 EUR
CER (Spotmarket)	0.23 EUR	0.24 EUR	+0.01 EUR
ICE Brent Crude Oil (Benchmark Future)	70.37 USD	71.79 USD	+1.42 USD
EURO (Currency, Forex)	1.1214 USD	1.1298 USD	+0.0084 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

Dear Sir or Madam,

From a European perspective, the past year was good for climate protection – German CO2 emissions fell by 4.5% compared to 2017. Not least thanks to the sunny weather and a record of renewable energy generated, 41 million tons of greenhouse gases were saved. Lower livestock numbers (pigs -4%, cattle -3%) also contributed to this. Even the transport sector, which has risen steadily in recent years, has seen a decline of around 5 million tonnes or 2.9%.

All stationary installations in Europe subject to EU emissions trading also emitted 3.8% less CO2e. By contrast, the aviation sector added an inglorious 6.2% to more than 68 million tonnes of CO2. It is not surprising that the airline Ryanair has risen to the top 10 of the biggest climate sinners. Anyone who suspects only coal-fired power plants is obviously visibly wrong. The low budget airline Ryanair emitted just under 10 million tonnes (+ 7%) last year and other airlines such as Lufthansa (+ 9.6%) and Easyjet (+ 11%) followed this negative example.

After the disorderly Brexit has been delayed until the end of this week and even speculated on a second referendum, the CO2 emission allowances in the past week increased sharply. The question of how to proceed from this Friday will influence the carbon pricing accordingly.

(Average Quotes Exchange / OTC)
Instrument	2019-03-29	2019-03-29	Change
EUA (Spotmarket)	21.44 EUR	24.52 EUR	+3.08 EUR
EUA (December-2019-Future)	21.54 EUR	24.60 EUR	+3.06 EUR
CER (Spotmarket)	0.23 EUR	0.23 EUR	+0.00 EUR
ICE Brent Crude Oil (Benchmark Future)	68.35 USD	70.37 USD	+2.02 USD
EURO (Currency, Forex)	1.1217 USD	1.1214 USD	-0.0003 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

Dear Sir or Madam,

The International Energy Agency (IEA) has published that energy consumption increased by 2.3% in 2018, raising global CO2 emissions to a catastrophic record. The increase was twice as high as the average of the past decade and caused CO2 emissions of 33.1 billion tonnes in the energy sector, an increase of 1.7% over 2017. In particular, three countries are directly responsible for the sharp increase: China, India and the USA. However, China must be credited for having taken over the majority of the production processes for the rich industrialized countries. These emissions are also indirect emissions from Europe, North America and other affluent areas of our planet.

Since 27.03.2019, the German budget has been used up in terms of CO2 emissions, which is available to us this year in order to meet the goals of the Paris Agreement on Climate Change. By that time, Germany had emitted 198,000,000 tonnes of CO2 into the atmosphere. In order to reach the 2°C target, the former pioneer in climate protection must therefore significantly reduce emissions, otherwise the budget, which is the maximum available in 2050, is already used up in 2025. Accordingly, the emission of CO2 is expected to become more expensive.

European carbon emission allowances rose slightly last week, but uncertainty surrounding Brexit continues to be a major drag.

(Average Quotes Exchange / OTC)
Instrument	2019-03-22	2019-03-29	Change
EUA (Spotmarket)	20.52 EUR	21.44 EUR	+0.92 EUR
EUA (December-2019-Future)	20.67 EUR	21.54 EUR	+0.87 EUR
CER (Spotmarket)	0.22 EUR	0.23 EUR	+0.01 EUR
ICE Brent Crude Oil (Benchmark Future)	66.40 USD	68.35 USD	+1.95 USD
EURO (Currency, Forex)	1.1300 USD	1.1217 USD	-0.0083 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