Dear Sir or Madam,
On Wednesday, an expert hearing on the TEHG (Greenhouse Gas Emissions Trading Act) will take place in the German Bundestag, which will focus on the introduction of the EU Emissions Trading System EU ETS II in 2027 for the building and transport sectors and the associated transition of national emissions trading to European trading.
In this context, at the end of November, the Bundesrat (Federal Council) had submitted a proposal to auction national emission certificates at a fixed price of EUR 65.00 per tonne on the EEX in 2026 as well. The current BEHG (Fuel Emissions Trading Act) stipulates that the fixed-price phase will expire next year and auctions should take place in a price range of EUR 55.00 to EUR 65.00.
Since the obligated companies would have to submit emission reports for EU ETS II by 30 April 2025 in order to implement the EU requirements, this deadline has now been suspended because the TEHG amendment has not yet been adopted. A new deadline is unknown at the moment.
Last year, the German government received a total of €18.5 billion (previous year: €18.4 billion) through CO2 emissions trading. These revenues are channelled entirely into the KTF (Climate and Transformation Fund). Auction revenues in the EU ETS amounted to EUR 5.5 billion (previous year: EUR 7.7 billion), while national emissions trading (nEHS) generated EUR 13 billion (previous year: EUR 10.7 billion).
The decline in the EU ETS is mainly due to the significantly lower average price of EUR 65.00 (2023: EUR 83.66) for emission allowances. The increase in revenue in the nEHS was due, on the one hand, to the rise in prices from EUR 30.00 to EUR 45.00 and, on the other hand, to the reduction in the number of emission rights to 85 million in 2024 (previous year: 92 million EUA).
Last week, prices in the EU ETS were 1.4% lower than in the previous week, due to profit-taking after the rise in the previous weeks and the weakening market environment in the energy sector.
After the auctions on the EEX started again last week, 11,343,500 EUAs will be auctioned this week, which corresponds to an increase of 11.5% compared to the previous week.
Dear readers, up to now, we have indicated the prices for wholesale quantities of voluntary emission rights (VER) in our stock market prices listed below. However, as these have proven to be of little significance in the real trading of CO2 certificates, we will now show you the general market environment. Instead, you will now find the price development of British emission rights (UKA / United Kingdom Allowances) and gas (UK natural gas) alongside the prices for Brent Crude Oil and the exchange rate for the euro to the US dollar, which have been shown for years.
(Average Quotes Exchange / OTC) | |||
| Instrument | 03/01/25 | 10/01/25 | Change |
| EUA (December-25-Future) | 75.94 EUR | 74.85 EUR | -1.09 EUR |
| nEZ (national Emission Allowances (D)) | 55.00 EUR | 55.00 EUR | +0.00 EUR |
| UKA (December-25-Future (UK)) | 36.61 GBP | 34.88 GBP | -1.73 GBP |
| UK Natural Gas (December-25-Future) | 117.34 GBP | 112.56 GBP | -4.78 GBP |
| ICE Brent Crude Oil (December-25-Future) | 72.97 USD | 74.27 USD | +1.33 USD |
| EURO (Forex) | 1.0307 USD | 1.0242 USD | -0.0065 USD |
(EUA. UKA, Natural Gas, 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 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.
With kind regards,
Your Advantag – Team