EU carbon allowances, record price !

[razzleberry]

EU carbon allowances (2005-2007-era)
set all time record price.

0.18 Euro per metric ton
http://www.climatecorp.com/pool.htm

congrats to all concerned

[Dogmudgeon]

1. The futures are €23.10 ($30.92 as of posting time)

The disparity between the spot and the futures prices gives me pause. Perhaps it is because the markets are so new.

Anyway, a few weeks ago, I read that "carbon" was trading for about $10-$12/tCO2.

I'm also not so sure that carbon markets are a Good Thing. They are poised for a tremendous boom (and artificially inflated value) at the next climate disaster. Another 30,000-death heatwave could make a number of financiers fantastically rich from speculating in mass misery. It may be SOP, but why "greenify" it?

--p!

[philb]

2. I think that phase I is ending and phase II starting, and that that is reason for the disparity.

The Gov'ts gave out lots of allowances to industry in the first round, so there are lots around now as Phase I ends.