Emissions Trading / Carbon Market News (21/08/2023)

Dear Madam or Sir,

Last week, the EU presented the report on the development of greenhouse gas emissions in the EU, which are emitted by companies and households.

According to this, a total of 941 million tons of CO2 or its equivalent in other greenhouse gases (CO2e) were emitted in the first quarter of 2023. Compared to the same period in 2022, this is a drop of a good three percent. In the first quarter of 2010 it was still 1,172 tons, since then total emissions in the EU have been falling steadily, with EU emissions trading system making an outstanding contribution.

Households were the biggest sources of emissions at 24%, followed by the manufacturing sector at 20%, energy supply at 19% and agriculture at 13%. In the transport sector, emissions rose to 10%, which is why further measures are required here in particular.

In the past exchange trading week, the EU emission allowances again increased by 1.5% on a weekly closing price basis and closed between the 38-day line (EUR 88.42) and the 200-day line (EUR 86.61) at EUR 88.01 for the December-2023-Future. A breakout towards the EUR 90 mark followed on Thursday, but this was short-lived.

This week the auction volume at the Leipzig EEX has still been halved again with a total of 4,963,000 EUAs over four trading days. From Friday next week, the regular offer will start again at the beginning of September.

  (Average Quotes Exchange / OTC)   
EUA (Spot-Market)85.88 EUR87.18 EUR+1.30 EUR 
EUA (December-2023-Future)86.73 EUR88.01 EUR+1.28 EUR 
VER (Natural Carbon Offsets)1.80 USD1.58 USD-0.22 USD 
VER (CORSIA eligible Carbon Offsets)0.93 USD0.73 USD-0.20 USD 
nEZ (German National Carbon Units)30.00 EUR30.00 EUR+0.00 EUR 
ICE Brent Crude Oil (Benchmark Future)86.57 USD84.75 USD-1.82 USD 
EURO (Currency, Forex)1.0946 USD1.0870 USD-0.0076 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. 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