The benchmark European carbon contract hit a record high approaching EUR100 a tonne on Monday (20 Feb), with cooler weather forecasts and expectations of lower wind power output driving up demand. The benchmark EU Allowance (EUA) December 2023 contract closed at EUR98.30 a tonne, up 2.1% since last Friday's (17 Feb) close and having earlier touched a record high of EUR99.99 a tonne. EUAs are the main currency used in the European Union's Emissions Trading System (ETS) which forces manufacturers, power companies and airlines to pay for each tonne of carbon dioxide they emit as part of the bloc's efforts to meet its climate targets.

Source: Reuters