Dear Ladies and Gentlemen,
Last week was a tough one for climate policy.
First, on Monday, US President Donald Trump caused considerable irritation with his speech to the UN General Assembly. He bluntly described man-made climate change as ‘the greatest hoax ever perpetrated on the world’ and rejected scientifically based concepts such as the carbon footprint as manipulative. He also warned of economic damage caused by the energy transition, derided wind power as a ‘joke’ and announced instead the expansion of fossil fuels in the US.
The Revolution wind farm off Rhode Island was a positive counterexample. The Trump administration recently halted the nearly completed project, but a federal court lifted the construction freeze, calling the administration’s action ‘arbitrary and capricious.’ The operator, Ørsted, immediately announced the resumption of construction work.
Trump’s stance contradicts the consensus of over 97% of climate scientists and follows a strategy that prioritises economic sovereignty over ecological responsibility. At the 15th Extreme Weather Congress in Hamburg earlier this week, representatives of the German Weather Service, the Alfred Wegener Institute and other institutions issued urgent warnings about the threat of a three-degree rise in temperature by 2050. The key message was that global warming is accelerating – and with it the frequency of extreme weather events. Meteorologist Frank Böttcher spoke of a loss of control: ‘We are flying off the climate curve.’ CO₂ emissions remain far too high, he said, and we must already plan for the 3-degree limit to be exceeded. Tobias Fuchs from the DWD confirmed an unprecedented series of record-breaking hot years and emphasised the increasing burden on cities. Climate protection and adaptation are equally indispensable, he said.
China’s President Xi Jinping also sent a climate policy signal last week. At a climate summit hosted by UN Secretary-General António Guterres, he presented new targets for his country, thus taking a clear stand against Trump. Without naming the US, Xi criticised countries that refused to join the global transition to clean energy. China plans to reduce its greenhouse gas emissions by seven to ten percent from their peak by 2035. The installed capacity of wind and solar energy is to increase to 3600 gigawatts – more than six times the 2020 level. In addition, the share of non-fossil fuels in China’s energy consumption is to rise to over 30 per cent by 2035. Xi described the green transition as the order of the day and called on the international community to continue the path it has taken despite resistance from individual countries.
Towards the end of the previous week, weaker energy prices and further profit-taking weighed on the price of European pollution rights. Although the bears initially failed to push the price below 77 euros, the benchmark contract slumped by one euro on Monday after another weak auction. The price then hovered around the €76 mark with a clear downward trend – even the imminent end of the submission deadline could not stop this. On Friday, the EUA at least recovered from its weekly low of €75.10 and closed just below €76.
| Instrument | 19/09/25 | 26/09/25 | Change |
| EUA (December-25-Future) | 77.55 EUR | 75.98 EUR | -1.57 EUR |
| EUA 2 (December-28-Future) | 90.42 EUR | 88.03 EUR | -2.39 EUR |
| nEZ25 (national Emission Allowances (D)) | 55.00 EUR | 55.00 EUR | +0.00 EUR |
| UKA (December-25-Future (UK)) | 57.60 GBP | 54.30 GBP | -3.30 GBP |
| UK Natural Gas (December-25-Future) | 87.68 GBP | 88.04 GBP | +0.36 GBP |
| ICE Brent Crude Oil (December-25-Future) | 66.04 USD | 68.75 USD | +2.71 USD |
| EURO (Forex) | 1.1746 USD | 1.1704 USD | -0.0042 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.)
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With kind regards,
Your Advantag – Team