The price of CO2 in the emission rights market (EU ETS) has set a new all-time high. It is a price level that has never been seen before in the EU ETS scheme. It has shot above 38 euros per ton for the first time, which is a 13% rise compared to the previous day.
The Polish auction of EUAs closed at an all-time high of 38 euros, according to information from Vertis, 1.44 euros above the spot market price at that time.
This was what caused an upward momentum in the market that lasted throughout the session and accelerated the appreciation of emission rights.
On February 4, intraday carbon prices reached an all-time high of € 38.08 per ton, before falling below € 37.
There will be those who have collected profits from the sale of their available CO2 emissions, but the most interesting thing about these prices is that they mark an acceleration in the cost of releasing a ton of CO2. The price is already around 40 euros, but it has been skyrocketing in recent months as the EU has strengthened its commitments to reduce emissions.
In fact, it’s up about 60% since the beginning of November. A growing group of buyers, including hedge funds, banks and energy companies, have said they expect prices to continue to rise as the EU tightens emissions rules further, a shift that will eventually cause alternatives in the sector of renewable energies are more competitive against fossil fuels.