TheCompensators* » So, the price of CO2-emission certificates is low anyway…

So, the price of CO2-emission certificates is low anyway…

On October 9th, chancellor Angela Merkel and the recently elected Prime Minister of Poland, Ewa Kopacz, met in Berlin for the first time to discuss issues concerning the German-Polish relationship an the EU. As anticipated, the meeting showed that it will not be easy to find an agreement on EU climate policy. Before her visit and with regard to the upcoming summit of the Council of Europe, where climate protection targets until 2030 are supposed to be decided, Ewa Kopacz had announced her use of Poland’s right of veto if these targets would bring about higher electricity bills for the Polish population. During the press conference in Berlin she explained that reducing greenhouse gas emissions to a level of 2008 would be equal to a reduction of 1,74% per year, which would be hard to achieve. Angela Merkel found that to be “an important statement regarding the Polish population” and stressed that the price for CO2-emissions ranks very low currently. In fact, in 2008 assumptions calculated on 20 Euro per certificate, while today the price fluctuates between 3 and 5 Euro. If Angela Merkel is convinced that cheap certificates are an acceptable method to compensate (pun intended) a higher price of electricity, she completely misses the point of the concept. Certificates allowing to exceed the limit set for pollution must be expensive, not cheap. Accepting low priced certificates also shows an acceptance of this weak spot in the emissions trading system. Interesting remains to see if this argument will be used in Brussels as well or which solution to fix the weaknesses of the ETS will be agreed upon.
TheCompensators* participate in eliminating this weak spot by buying certificates off the market and deleting them, forcing up prices for emission certificates. For this we need your help.

 

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