Electricity – Rumors of ETS policy review lead to price drop
ETS price: The ETS price fell by 25% in a short period of time. Rumors of a potential relaxation of the EU ETS came at a time when the market was facing a significant downside price risk from a technical perspective.
EU ETS review: Last week's industry summit in Antwerp and informal EU Council meeting highlighted the tensions between the European Commission and member states. While member states are leaning towards relaxing the EU ETS, the Commission urged member states to free up funding for industry.
Electricity price: The contract for the supply of Dutch electricity in 2027 (baseload) fell by around 10% as a result of the sharp price decline on the ETS market.
Hydropower reserves: The fill rate of Scandinavian hydropower reserves is below the 5-year average.
Coal price: Coal prices have risen sharply in recent weeks as a result of the Baltic Sea being covered in ice. Russian exports have fallen sharply as a result, leading to a (temporary) tightening of the global coal market.
