Uncertainty over ETS in wake of Covid-19 shutdowns

The price of allowances in the EU emissions trading system has fallen below €19 a tonne for the first time in 15 months, with mild weather and EU governments’ response to the novel coronavirus dampening demand from the power sector.

ETS emissions allowances have until now not seen the dramatic sell-offs experienced by other asset classes as policymakers grapple with the spread of COVID-19. 

A steep rise in the EU’s carbon price last year has helped drive the collapse in coal use across the bloc, bringing carbon dioxide emissions from the power sector down by 12% compared to 2018. 

Please sign in to access this article. To subscribe, view our subscription options, or take out a free trial.

Please enter your details

Forgotten password?

Having trouble signing in?

Contact Customer Support at
or call 020 8267 8120

Not a subscriber?

Take a free trial now to discover the critical insights and updates our coverage offers subscribers.