"Europe’s carbon price hits new record as coal drives emissions" - Bloomberg

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Those who are aware of the carbon credit charade know that it was designed by the elite who also benefit greatly from this scam.  The history is clear...if one really LOOKS. -TomNolan

https://www.jwnenergy.com/article/2022/8/19/europes-carbon-price-hits-new-record-as-coal-drive/

Europe’s carbon price hits new record as coal drives emissions

By Bloomberg  

Friday, August 19, 2022, 7:02 AM

 

Europe’s carbon price jumped to a record as the region’s energy crisis is driving up demand for some of the most polluting fuels.  

Businesses are burning coal and even oil to keep power stations and factories running while cleaner-burning natural gas becomes increasingly scarce. The situation threatens to push up Europe’s carbon footprint this year even if soaring energy prices and shortages force industries to shut. 

“Because burning coal and even fuel oil is so much dirtier than burning gas, even a small substitution could outweigh demand destruction,” said Mariko O’Neil, an analyst at researcher BloombergNEF. 

The electricity sector is by far the largest source of emissions in the European Union’s carbon market and a shift away from cleaner sources could be hard to overcome. That’s being reflected in the cost of EU pollution rights, which soared to a record 99.22 euros ($99.73) per metric ton Friday. UK carbon permits and coal prices also hit fresh highs.

How high emissions rise this year will depend on the balance between dirtier power generation and how much fuel costs stifle demand. This week, Norsk Hydro ASA unveiled plans to close an aluminum smelter in Slovakia, while the operator of one of Europe’s largest zinc smelters said it was halting production due to high energy prices. 

But at the same time, power generation is polluting more. Utility Uniper SE has turned on a decades-old power plant in Sweden that burns fuel oil, an option that’s dirtier than gas, though not as intense as coal. And in Spain, government policies meant to limit energy bills are inadvertently encouraging the use of gas power plants over more efficient ones. This comes ahead of winter when more coal power could meet demand if gas supplies are insufficient.

The power sector is already polluting more than in recent years. In the first nine months of 2022, emissions from fossil fuel-burning power plants in Germany, France, Britain and Italy are set to rise 10 per cent compared to the same period in 2019, according to estimates from BNEF. Overall, Germany’s decision to bring more coal- and oil-fired plants online this winter may push EU emissions up by as much as five per cent next year, according energy research firm ICIS.

“Stronger coal burn at utilities, especially with weather-related demand surges, will support the upside of price change,” said Nuomin Han, an analyst at consultant Wood Mackenzie Ltd. “Industrial demand destruction associated with macroeconomic and geopolitical risks or in response to surging energy prices represents the downside.”

No Nukes

The rise in power sector emissions isn’t just because of the shift from gas to coal, but also because of a dearth of cleaner options. Most importantly, France’s fleet of nuclear reactors have been operating at about 50% capacity this summer, leading the country to import electricity from neighbors that rely more heavily on fossil fuels.

Low-carbon hydro power has also been hit this year because of dry conditions that have shrunk the rivers and reservoirs that the plants need to operate. At the same time, the summer has seen lower wind speeds than normal in parts of Europe, including the UK and Germany, which have the biggest fleets of turbines. 

Still, in the long term, Europe’s emissions will decline. European politicians will complete final negotiations later this year to tighten the carbon market to help deliver on the EU’s goal to cut emissions by 55 per cent by 2030 compared to 1990 levels. 

As part of that effort, the EU will cut the amount of free permits issued to industrial companies. That may limit how much those companies would be willing to sell permits this year even if their demand drops because of lower production. 

© 2022 Bloomberg L.P.

 

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https://tradingeconomics.com/commodity/carbon

EU Carbon Permits

European carbon prices broke above €98 a tonne for the first time ever, after gas prices returned to record levels encouraging more utilities to swap to carbon-heavy coal, resulting in higher emissions and demand for permits. Natural gas prices in Europe bounced back to unprecedented levels, as heatwaves across the continent are set to push demand to above-normal levels while the historic drought threatens to halt energy shipments along the Rhine River. Earlier this year, the European Commission announced plans to sell more carbon emission permits to fund the EU’s exit from Russian energy. The European Commission unveiled a €210 billion plan for Europe to end its reliance on Russian energy by 2027, and to use the pivot away from Moscow to speed up its transition to green energy. The commission has 2.6 billion certificates in reserves and plans to sell between 200-250 million ETS certificates from Market Stability Reserves by the end of the decade.

[Tom Nolan + 2,441]

There is a deep devious history to the development of the Carbon Trading Scam which goes back many years with corrupt elite involved.

However, here is a recent August 15, 2022 video (12 minutes) by Belinda Carr which only touches the surface...

Exposing the Carbon Credit and Offset SCAM

https://www.youtube.com/watch?v=A5GAaCTwc9s

https://odysee.com/@yellowgenius:0/Exposing-the-Carbon-Credit-and-Offset-SCAM:2

Edited August 19, 2022 by Tom Nolan

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A Corbett Report 6 1/2 minute VIDEO from October 25, 2009…

Carbon Trading – Economics 101
https://odysee.com/@corbettreport:0/carbon-trading-economics-101:4

Find out how ENRON was part of the development of the Carbon Scam.

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Carbon Futures Fall to Lowest Since March as EU Eyes Permit Sales

https://finance.yahoo.com/news/carbon-futures-fall-lowest-since-131530074.html

https://archive.ph/yniWD

Ewa Krukowska and William Mathis

Fri, September 9, 2022 at 8:15 AM

(Bloomberg) -- European carbon allowances extended losses Friday as the European Union moves toward a deal to sell surplus permits to help limit the impact of the energy crisis.

At an emergency meeting in Brussels, EU energy ministers discussed possible options for making use of the region’s carbon market in order to lower power prices, according to a statement by the Czech government, which chaired the talks. The Czech presidency is seeking to advance negotiations on the European Commission’s proposal to use permits withheld from the market

Carbon futures fell as much as 2.5% to 65.55 euros ($65.85) per metric ton on the ICE Endex exchange, the lowest since early March, before paring losses. The permits have fallen by about a third since reaching a record high above 99 euros in August.

The EU commission proposed in May selling 20 billion euros of permits kept in a reserve for the emissions trading system through the end of 2026. The plan can be amended by national governments and the EU Parliament which are already seeking to bring the sales forward.

More recently, the Netherlands floated the idea of bringing forward sales of 125 million permits as an alternative to tapping the Market Stability Reserve to help fund the EU’s strategy to wean itself off Russian gas and limit the effects of the crisis. The EU could front-load allowances scheduled to be auctioned in 2027-30 to the 2023-26 period, according a Dutch document seen by Bloomberg News earlier this week.

Poland wants a more radical use of the MSR, arguing for additional sales of 400 million carbon allowances to boost liquidity of companies before the winter. It also floated the ideas of suspending the EU ETS and freezing the price of EU carbon permits at 32 euros per metric ton for two years, with a possibility of extension.

“It’s the time to release the free permits held in the reserve and transfer them to the sectors that need them most: power production and heating, we’re also open to discuss the list of sectors,” Poland’s climate minister Anna Moskwa told reporters in Brussels on Friday. “It’s a crisis time and there’s no time for a long thinking process. This is a quick mechanism that could be activated before the autumn-winter season.”

In the European Parliament, Peter Liese, senior lawmaker for the biggest political group EPP, proposed that the auctioning of the permits should take place within 12 months after the legislation enters into force. The assembly is due to hold a vote on its position next month.

Edited September 9, 2022 by Tom Nolan

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