Emissions market in the European Union

The European Greenhouse Gas Market (EU ETS) has been in place for more than 15 years with the aim of creating incentives to reduce greenhouse gas emissions in the industry and energy sectors. For various reasons, the price of a greenhouse gas certificate in the EU ETS has fallen to around 5 euros in the past. In order to increase the value of greenhouse gas certificates, the "Market Stability Reserve" (MSR) has been adopted. As a result, around 900 million allowances were withdrawn from the market and transferred to a newly created reserve. The reserve can be used to stabilize the market. The price of a certificate currently sits at around 25 euros. This price development further displays the importance of challenges arising from climate change.

Currently, the fourth phase of the EU ETS (2021-2030) is ongoing.

The measures to stabilize the EU ETS market have been successfully implemented and have led to higher market prices for greenhouse gas certificates. In addition, the Swiss EHS has been successfully linked to the EU ETS, thereby making greenhouse gas certificates of Switzerland and the EU mutually recognized.

Faktor Plus is monitoring this development constantly regarding the opportunities and risks for its customers.