EU carbon prices hit record high above Eur41.00/mt

摘要

London—EU carbon allowance prices hit a record high on March 10, as EU lawmakers were voting on a proposed Carbon Border Adjustment Mechanism, with strengthening energy markets contributing to carbon’s rise. EU Allowance futures contracts for December delivery on the ICE Futures Europe exchange hit Eur41.85/mt ($49.75/mt). If agreed, the CBAM -- a charge on the carbon content of emissions-intensive goods imported into the EU -- could pave the way for regulators to withdraw or phase down free allocation of carbon allowances for industries such as steel and cement producers. Any phase-out of free allowances implies that emissionsintensive companies in the EU would need to become more significant buyers of allowances.