DBLM Solutions

Luciano Magliocco +353 87 9051928 (Mobile) dblmluc (SKYPE) luc@dblmsolutions.com

DBLM Solutions Carbon Update

Carbon Overview

David Boles 01 4433584 (Direct) dblmdavid (SKYPE) david@dblmsolutions.com

At time of writing the Dec '13 EUA Contract was at 5.09. This is a five week high as Nations continue to voice their backing of the temporary carbon market fix which will be voted on mid April. Yesterday, Bulgaria added their name to the list. Aviation data was released yesterday showing 55 million tonnes of GHG's were emitted by Pan European Flights. Flights within the European Bloc still must submit allowances to cover emissions for 2012 at the end of April. The 'clock has been stopped' for flights entering Europen air space pending a global Aviation GHG mitigation solution, due in September. The data shows that 500 airlines are affected by EUETS inclusion with Ryanair topping the list. Auctions of Aviation allowances have been postponed until at least May 2013. The European Commission wants the auction of Aviation allowances to recommence only when there is clarity on the volume to be auctioned. Germany already auctioned 2.5 million aviation allowances in November 2012. The big unknown, will there be a new global framework or will all flights into the EU be automatically opted into the EUETS. Auctions only account for 15% of an airlines allocation, the remainder is free during Phase 3
Dec 13 EUA

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