Category: General

Dear Sir or Madam,

According to a study by the think tank ‘Agora Agrar’, greenhouse gas emissions in the European Union could be halved by 2045 in the agricultural sector and especially in peatlands used for agriculture.

In line with this, EU Commission President Ursula von der Leyen last Friday called for new financial instruments, similar to the EU Emissions Trading System (EU ETS), which “reward those who serve this planet”.

In particular, companies that benefit from an intact natural environment should financially reward local communities for preserving it. Von der Leyen gave examples such as pure spring water or orchards that rely on bees.

At the end of her speech, the Commission President explained that intensive work was already underway with EU member states to develop the first pilot projects to support this process.

Prices in the EU ETS slumped further for the fourth week in a row last week, closing down 2.3% just below the EUR 65 mark and hitting a seven-week low at the same time. The 200-day line, which currently stands at 66.24, was only temporarily broken upwards at the beginning of the week, but proved to be a stable resistance. It remains to be seen whether the EUA will succeed in sustainably overcoming this barrier this week or whether the price will trend towards the EUR 60 line.

Auctions totalling 12,658,000 emission allowances are scheduled on the EEX on all five trading days this week, including 906,000 EUAs for aviation on Wednesday, which can also be used for stationary installations.

In view of the current situation, we would like to point out that it is important that companies obliged to surrender their national emission allowances for the year 2024 (nEZ24) in Germany’s national emissions trading system in accordance with the BEHG only surrender them in the coming year so that they are available on the registry account on 31 December 2024 and thus the purchase option of 10% of this volume can be exercised in the coming year at the same price of EUR 45.00.

If you have any questions, please do not hesitate to contact us.

(The VER quotes are average rates (carboncredits.com). which can be used within the framework of CORSIA and voluntary carbon offsetting, 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.

With kind regards,

Advantag GmbH

Dear business partners,

The year 2023 also brought great challenges for all of us and was further overshadowed by the Russian war of aggression on Ukraine and the Hamas attack on Israel and the ongoing fighting in the Gaza Strip.

Inflation, especially at the beginning of the year, high interest rates and political quarrels have influenced all companies, which is why reliable business partners and reliable and committed employees have a great anchoring effect.

We would therefore like to thank you very much for the good and trusting cooperation this year!

The Advantag team wishes you, your friends, family members, employees and colleagues a Merry Christmas and a good start to a hopefully more peaceful, healthy and successful New Year 2024!

In 2023, too, we will not be giving away material things, but will remain active in the spirit of climate protection by once again jointly promoting global climate protection projects and supporting the great work of action medeor e. V. from Toenisvorst helps people in need.

For 2023, we have therefore decided on the “Mersin Wind Farm Project” and “Soma Wind Farm Project” in Turkey. We support the expansion of renewable energies in Turkey. In this way, we are jointly improving the air quality of local people, reducing particulate matter emissions and at the same time helping to reduce greenhouse gas emissions in the Turkish energy sector.

We hope to continue to work with you in the new year 2024.

Your Advantag team

Dear Madam or Sir,

In the first six months of this year, emissions from electricity generation in the European Union fell by 17%, due in particular to the further expansion of renewable energies and the lower use of coal at EU level. This corresponds to a decrease of approximately 59 million tons of CO2.

But it is not only the EU that has made a positive presentation here, but also one of the world’s main emitters of greenhouse gases, the USA. Here, carbon emissions from electricity generation also fell by 8.6% in the first half of 2023, which was due to the 27% decline in coal-fired power generation. And in Japan, emissions from fossil fuels in electricity generation also fell by a remarkable 12%, as the energy think tank Ember reported. As a result, Japan emitted 25 million tons of carbon less in the first half of 2023.

Globally, this has meant that carbon emissions from electricity generation have remained almost unchanged and may have reached their peak here.

However, the German federal government is clearly missing its emissions reduction targets in the buildings and transport sectors, even though the federal government has presented a new climate protection program. There remains around 200 million CO2 too much, which makes achieving the climate protection goals a long way off, as does the goal of being net zero by 2045.

The new EU Climate Commissioner Wopke Hoekstra has now spoken out in favour of a target of 90% reduction in greenhouse gas emissions by 2040. According to calculations by analysts of the London Stock Exchange, this would mean a price for a ton of carbon emission or its equivalent in other greenhouse gases (CO2e) of more than 400 euros per ton.

Currently, the prices for European Emission Allowances remain under pressure and ended with a loss of 1.21 euros or 1.5% based on the weekly closing price. Last Tuesday, the benchmark future EUA-December-2023 closed below the 80-euro-mark for the first time since the beginning of February, but was able to assert itself above it again from Wednesday, even if Brent oil lost a significant 8.5% on a weekly basis.

What will be interesting next week will be to what extent the Hamas attack on Israel contributes to the uncertainty in the financial, energy and commodity markets regarding a potential expansion.

Last Wednesday, a primary market auction of 1,000,000 EUA for Northern Ireland took place on the European Energy Exchange for the first time this year. Due to the Polish auction next Wednesday, a total of 14,599,500 EUA will be auctioned on all trading days this week.

(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. The VER quotes are average rates (carboncredits.com), which can be used within the framework of CORSIA and voluntary carbon offsetting. 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.

With kind regards,

ADVANTAG Services GmbH