EMISSIONS: UKAs Rally On ETS Relink, 2050 Net Zero Target Abandonment

UKAs Dec25 is rallying following the reporting of a letter by The EU and UK Parliamentary Partnership Assembly calling for EU-UK ETS relink. The previous rally in the morning followed the UK Conservative leader Kemi Badenoch’s speech announcing plans to scrap the party’s commitment to net zero by 2050.

• The EU and UK Parliamentary Partnership Assembly called on both governments in a letter dated 17 March to consider linking the EU and UK emissions trading system ahead of the UK-EU Summit in May.
• UKAs Dec25 rose to an intraday high at £45.68/ton CO2e, up nearly 6% compared with an intraday low of £43.22/ton CO2e earlier in the session.
• In the morning speech Badenoch said current climate policies are raising energy costs and could potentially bankrupt the country.
• “Anyone who has done any serious analysis knows [net zero] cannot be achieved without a significant drop in our living standards – or worse, by bankrupting us,” Badenoch said.
• “Our success at reducing emissions has also come at a cost – the highest energy bills in the developed world.”
• The party will conduct a review of all energy policies and will not rush to commit to a new target.
• Greenpeace UK’s climate lead, Mel Evans, said the decision means abandoning the “economic opportunity of the century” as green industries are growing three times faster than the rest of the UK economy.
• UKA DEC 25 up 4.9% at 45.68 GBP/t CO2e