Britain will be the first member country of the European Union to cut the supply of EU carbon permits on March 12 under the bloc’s back-loading plan.
Carbon exchanges ICE Futures Europe and EEX said Britain will cut the volume in its fortnightly auction of permits under the EU Emissions Trading System (ETS)
Reuters Newsagency reports ICE said Britain will reduce the units on sale to 2.515 million units from March 12, down from the 4.63 million sold in each of its first four sales of 2014.
EEX said a group of around 25 EU member states will continue to hold three auctions a week but from March 17 will cut the amount per sale to 1.928 million units from 4.019 million.
Germany will reduce its weekly Friday auction volumes to 2.352 million units from 4.6 million, EEX added, while Poland will stop holding permit auctions after March 5.
The back-loading plan has been legislated by the EU to rescue its troubled ETS, which has seen the value of carbon permits drop dramatically over the past 18 months.
Under current clean energy laws, Australia’s fixed price ETS, which the current conservative Liberal-National government is trying to repeal, reverts to a market based ETS in July next year and is linked to the EU ETS.
One Response
Wow more money to bail out not the Environment, but a ‘falied’ gambling system of ‘credits’ devised by Bankers……
The big corporate players in the system get ‘bailed’ out which is actually a direct transfer of tax payers money to them – they privatise the ‘profits’ and socialise the ‘losses’
Are you starting to get the feeling you have been lied to and manipulated by the financial sector once again?
This is a double dip of Tax payers money – remember the multi Billion Dollar Hole in the last Budget from the reduction in predicted ETS pricing? Well the current Government will have to start cutting other essential services to allow for this…..it just gets better and better huh?