European utilities are burning more coal in the short term to meet electricity demand
EU ETS prices rise on high coal burn, low auctions
Prices in the EU’s emissions trading scheme hit an all-time high last week after an August rally on reduced volumes and an increase in coal burn
Prices in the EU emissions trading scheme (ETS) reached an all-time high last week as high gas prices led to increased coal burn and auction volumes were reduced in August. Prices reached €99.17/t CO₂ ($98.34/t CO₂) on Friday—the highest level ever in the scheme—before falling back to €90/t CO₂ this week. Ongoing high gas and electricity prices due to reduced gas supply from Russia have made coal-fired power more economic, with many utilities saying that they will have to burn more coal in the short term to meet electricity demand. German utility RWE last month reported a 14pc rise in power generated from lignite last month in its first half results. Coal combustion emits almost twice as muc
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