The CO2 and Energy Market – 14.02.2017

A little more exciting than in the past few weeks, it could soon become in the European carbon market. Although there are no significant external influences, the CO2 chart is actually moving towards a decision. Since the beginning of 2017, the price has only moved sideways, but the range lately is getting smaller and smaller.

There must therefore be an outbreak in the near future, but still unknown, in which direction. It is interesting to note that the most important energy indices, namely oil, gas, electricity and coal, have a nearly identical chart situation.

In the opinion of market observers, therefore, a quite significant price change could be imminent.

The ICE exchange from London currently trades CO2 credits and Brent Crude as follows:

• EUA spot:  € 5.02
• EUA Dec ’17 futures: € 5.03
• CER daily futures: € 0.28
• Brent Crude futures May’17: $ 56.43

Source: Advantag Brokerage Gmbh, Germany

The CO2 and Energy Market 09.02.2017

The ICE exchange from London currently trades CO2 credits and Brent Crude as follows:

• EUA spot:  € 5.35
• EUA Dec ’17 futures: € 5.32
• CER daily futures: € 0.28
• Brent Crude futures Apr’17: $ 56.010

Green Energy News

The new report “Expect the Unexpected: The Disruptive Power of Low-carbon Technology”, launched last week by Carbon Tracker and the Grantham Institute at Imperial College London, highlights that falling costs of electric vehicle and solar technology could halt growth in demand for oil and coal from 2020.

The report challenges the business as usual approach of companies and finds that:

• EVs could make up a third of the road transport market by 2035, half by 2040 and two thirds by 2050 with 1.7 billion vehicles on the road;

• Growth in EVs could displace 2 million barrels of oil a day by 2025, the same volume that caused the oil price collapse in 2014-15. By 2040 they could displace 16mbd of oil;

• Solar PV could supply 23% of global power generation in 2040 and 29% by 2050, entirely phasing out coal and leaving gas with a 1% market share.

Source: Grantham Institute at Imperial College, London