Emissions Trading / Carbon Market News (2019-04-08)

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