Dear Sir or Madam,
Germany plans to auction a total of 96,764,500 emission allowances at the EEX in Leipzig this year.
Due to the shutdown of the Neurath A and Frechen power plant units in 2022 as part of the Coal Phase-Out Act, approximately 890,000 tonnes of CO2 will not be emitted in 2023.
A large portion of the relevant allowances have already been retired as part of the market stability reserve (MSR). The Federal Environment Agency has now announced that Germany will withdraw a total of 514,000 EUAs from the market in such a way that they will not be auctioned on the EEX. The auction calendar will be adjusted accordingly in the coming weeks.
On Wednesday, new proposals from the European Commission regarding the EU climate targets for 2040 are expected. It is highly likely that there will also be intensive discussions about the launch of EU ETS 2.
Austria has now joined an initiative originating in the Czech Republic, which is already supported by 15 countries, including Italy, Poland, Slovenia, Belgium, Croatia and Germany.
These countries have written a letter calling for changes to the EU ETS 2, which is set to start across Europe in 2027 for the building and transport sectors.
The initiative has expressed concerns about the unpredictability of prices at the start and is calling for improvements for businesses and consumers to be made before the launch.
The background to this is the fear of political risks if emissions trading causes energy prices to rise too sharply before accompanying and appropriate compensation and support measures have been put in place.
With only 18 months to go before the EU ETS is scheduled to start, there is therefore a need for urgent action.
Prices in the EU ETS 1 fell by another 2.8% in the past trading week after a ceasefire between Iran and Israel last week.
Brent crude oil fell significantly more sharply, losing 10.1% over the week, while British gas lost as much as 16.2%.
However, as the ceasefire in the Middle East is very fragile, renewed military conflict could lead to a backlash on the energy markets.
A total of 11,346,500 EUAs are being offered for auction on the European Energy Exchange in the current trading week. This is 15.4% less than in the previous week, as the Polish Wednesday auction is not taking place.
| Instrument | 20/06/25 | 27/06/25 | Change |
| EUA (December-25-Future) | 72.97 EUR | 70.96 EUR | -2.01 EUR |
| EUA 2 (December-28-Future) | 81.40 EUR | 81.48 EUR | +0.08 EUR |
| nEZ (national Emission Allowances (D)) | 55.00 EUR | 55.00 EUR | +0.00 EUR |
| UKA (December-25-Future (UK)) | 51.00 GBP | 48.12 GBP | -2.88 GBP |
| UK Natural Gas (December-25-Future) | 111.89 GBP | 93.78 GBP | -18.11 GBP |
| ICE Brent Crude Oil (December-25-Future) | 72.27 USD | 64.98 USD | -7.29 USD |
| EURO (Forex) | 1.1523 USD | 1.1719 USD | +0.0196 USD |
(EUA, EUA 2, UKA, Natural Gas, Crude Oil and Euro Currency shows day-end-exchange quotes of the benchmark contract. This market information has just an informational character and are no advice or offer to trade emission allowances 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 book here a call with one of our specialists.
With kind regards,
Your Advantag – Team
