Tuesday, 31 May 2016
Last updated 3 days ago
Jan 21 2009 | 11:19am ET
European Union allowances (EAUs)—permits to emit carbon dioxide CFI2Z9 in the European Union—traded at EUR 11.78 a tonne on Monday, a record low for the second trading period of the bloc’s emissions trading scheme from 2008-2012.
The price of the benchmark 2009 contract hit an all-time low last week, beating the previous record of EUR 12.80. EUAs fell to near-zero in the first trading phase of the scheme from 2005-2007, now referred to as a “trial period.”
The EU program targets CO2 emissions from industrial concerns like steel and power plants.
Permit prices are feeling the effects of falling industrial carbon emissions, the result of recession and reduced output; falling energy demand; and lower oil and gas prices.