Carbon drops as German Chancellor Merz indicates willingness to throw the EU ETS under the bus

The EUA Dec-26 contract has dropped to EUR 72/t, the lowest level in six months, today following the statements by German Chancellor.

Late Wednesday (11 February), German Chancellor Friederich Merz was in a Q&A session following his speech at the European Industry Summit in Antwerp. When asked about carbon cost and the EU emission trading system, he said “..So if this is not achievable and if this is not the right instrument, we should be very open to revise it or at least to postpone it as we did with the ETS2 for consumers”.