As the European Union prepares for the next phase of reform to its Emissions Trading System (EU ETS), the mechanism is facing growing political and economic pressure due to rising compliance costs and concerns over industrial competitiveness.
The European carbon market advanced for a third consecutive week, with Dec’26 EUA futures settling at €76.92 on Friday. The contract gained 2.66% on the day, its strongest daily increase in two weeks, and closed 1.74% above the previous Friday’s settlement.
Ahead of next week’s Competitiveness Council meeting on 28 May, Czechia, Greece, Poland and Romania submitted an information note entitled “The Impact of the EU ETS on Energy-Intensive Industries,” urging a more realistic adjustment of benchmarks to better reflect industrial and energy market conditions.
The latest Commitment of Traders (CoT) report released by the ICE platform on Wednesday morning indicates that investment funds resumed reducing their net long positions — the difference between long and short positions — after briefly pausing the decline the previous week.
According to media reports citing a draft proposal due to be presented today, the EU executive is considering granting more free carbon allowances to the fertiliser industry — a move that could be viewed as a step back from the bloc’s strict climate ambitions as Brussels prioritises industrial competitiveness and energy security amid soaring fertiliser […]
ABN AMRO has revised downward its short- and long-term carbon market outlook, according to its latest report published this week. The bank adjusted both its baseline scenario and two alternative scenarios reflecting the linkage between the UK ETS and the EU ETS, as well as the inclusion of carbon removals.
The latest Commitment of Traders (CoT) report from the ICE platform, released Wednesday morning, indicates that investment funds increased their net long positions — the difference between long and short positions, for the first time in three weeks.
On Monday, the European Commission published its proposal for the revised EU ETS benchmark values for the 2026–2030 period, marking an important step in defining the volume of free allowances that will continue to be allocated to European industry under the EU Emissions Trading System.
The European carbon market ended Friday’s session with a slight rebound, while still recording a 1.68% gain for the week. The EUA Dec’26 contract settled at €75.18, posting a modest daily increase of €0.05 after trading within a narrow intraday range of just €1.01 — the tightest daily trading range since early January.
Thursday was a bearish session for the European carbon market, tracking broader declines in equity markets. The EUA Dec ’26 contract settled at €75.13, down €0.92 on the day, after reaching an intraday high of €76.77.