Page 92 - 2025 HEG Daily Energy Market Report

CARBON (€/T)
TUE WED VAR D-1 VAR W-1 AVG. MAX MIN
10/2 11/2 FROM THE BEGINNING OF THIS YEAR
CO2 EUA DEC 2026 78.86 78.45 -0.41 -4.47 86.06 92.24 78.20
CO2 EUA DEC 2027 81.01 80.60 -0.41 -4.62 88.49 94.80 80.38
CO2 EUA DEC 2028 83.44 83.02 -0.42 -4.8 91.24 97.73 82.83
CO2 EUA DEC 2029 86.32 85.77 -0.55 -5.07 94.40 101.04 85.68
UK ETS DEC 26 EUR 59.63 56.63 -3 -15.54 75.27 84.02 56.63
UK ETS DEC 27 EUR 62.22 58.97 -3.25 -16.35 78.51 87.61 58.97
UK ETS DEC 28 EUR 65.33 61.69 -3.64 -17.32 82.17 91.46 61.69

European carbon prices retreated on Wednesday, as net long positions
narrowed to 94m tonnes, their lowest since October, based on ICE COT
figures. The market also reacted to continued discussion of EU ETS changes
and reports of more limited cuts to free allowances in 2026. Accordingly, the
EUAs expiring in Dec-2026 slipped by 0.5% to 78.45 EUR/tonne.

CO2 EUA

EXCHANGE RATES

TUE WED VAR D-1 VAR W-1 AVG. MAX MIN
10/2 11/2 FROM THE BEGINNING OF THIS YEAR
RATE EUR/USD 1.1894 1.1900 0.0006 0.008 1.1758 1.1974 1.1617
RATE EUR/GBP 0.8695 0.8699 0.0004 0.0083 0.8681 0.8744 0.8616
RATE GBP/EUR 1.1501 1.1496 -0.0005 -0.011 1.1520 1.1606 1.1436

The EUR/USD pair edged up to 1.1900, even as a stronger-than-expected US
jobs report lent support to the dollar. US nonfarm payrolls rose by 130K in
January, well above forecasts and December’s revised 48K gain, while the
unemployment rate slipped to 4.3%. The euro continued to draw support from
the ECB’s hawkish tone signalled last week.

The EUR/GBP rate was also broadly steady at 0.8699, with the pound
pressured by a deepening UK political crisis that has intensified calls for Prime
Minister Keir Starmer’s resignation.