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EU Carbon Drops Along With U.K. Gas; Bloc to Comply With Kyoto
2010-10-12 17:19:32.749 GMT
By Mathew Carr
Oct. 12 (Bloomberg) -- European Union carbon-dioxide
allowances declined as U.K. natural gas for summer fell and the
bloc's regulators said members were set to beat their targets
under the Kyoto Protocol.
EU allowances for December dropped 0.5 percent to 15.76
euros ($21.85) a metric ton as of 5:38 p.m. on London's European
Climate Exchange.
U.K. gas for delivery in the six months from April dropped
1.1 percent to 47.8 pence a therm on the ICE Futures Europe
exchange. That's the equivalent of $7.55 a million British
thermal units. A therm is 100,000 Btus.
Lower gas prices may prompt some power generators to switch
to the fuel, which requires half as many CO2 permits as coal.
The European Commission, the EU's regulator, said today
greenhouse-gas emissions from the bloc's first fifteen members
would probably be 10.4 percent below 1990 levels in the five
years through 2012. That's 2.4 percentage points better than the
target for an 8 percent cut, the commission said today in a
report on its website, citing the impact of the economic
recession and switching to cleaner fuels such as natural gas.
Including the use of United Nations offsets and so-called
carbon sinks such as forests, emissions by the 15 countries may
be as much as 14 percent below 1990 levels in Kyoto's five-year
compliance period, the report said.
In the same years, all 27 EU nations may have emissions 17
percent below 1990 levels, compared with a target for 2020 for a
20 percent cut, the report said.
The EU is considering adopting a tighter 2020 target of 30
percent. "Reduction efforts will need to accelerate across the
EU in the future" to meet either limit, according to the
report.
For Related News and Information:
Top Power Stories: PTOP <GO>
Emissions-trading stories: NI ENVMARKET BN <GO>
Today's top energy news: ETOP <GO>
European power-markets home page: EPWR <GO>
--Editors: Rob Verdonck, Mike Anderson
To contact the reporter on this story:
Mathew Carr in London at +44-20-7073-3531 or
m.carr@bloomberg.net
To contact the editor responsible for this story:
Stephen Voss on +44-20-7073-3520 or sev@bloomberg.net
