Issue CXXXVI

The contents of the Newsletter is not a recommendation, either implicit or explicit, to buy or sell emission permits.
Contact: David Boles, Compliance Markets -Direct: +3531 4433 584; Mob:00353 831744707
DBLM Solutions is partly funded by the Wicklow Enterprise Board.
Carbon Newsletter
DBLM Solutions
16 Oct 2014


The EUA Dec14 contract is currently at
6.16.Never say never, but it looks like carbon is
consolidating after its nigh on 6% rise witnessed
the end of last week. Time is allowing current
prices stabilise with a move higher predicted by
many analysts by the end of the year. We may see a
volatile market as the rollover of many offset
products will cull the supply side from a 1.8billion
surplus to a roughly 400 million deficit in March
2015. Expect some pronounced randomness as we
approach, possibly, a very volatile period for the
carbon price. There is a lot going on with reforms
on the table, a UN offset supply demand seismic
shift and not least, the gradual climb out of the
prolonged downturn.
Weekly
Recap
ICE
EUA
Spot
ICE CER
Spot
ICE
EUA
Dec14
ICE CER
Dec14
09/10/2014 6.11 0.09 6.11 0.09
10/10/2014 5.98 0.09 6.05 0.09
13/10/2014 6.04 0.08 6.05 0.08
14/10/2014 6.15 0.09 6.08 0.09
15/10/2014 6.14 0.10 6.16 0.10
Volumes lots 62 0 66,036 1,575
Week %

0.49% 11.11% 0.81% 11.11%
The EUA/CER spread widened this week to 6.04,
at close of business last night versus the 5.92
spread we witnessed last week and 5.60 the week
before.
Auctions
EEX held auctions last Thursday, Friday, Monday,
& Tuesday. Auction prices were 6.06, 6.03,
5.88 & 6.01 respectively. The cover ratios for the
above auctions were 4.87, 7.70,
3.71 & 5.27 respectively. (Cover ratio = no. Of
bids/tonne divided by auctioned allowances)
Last week, EEX and ICE published their EUA
auction itinerary for 2015. This includes the 300
million EUAs scheduled in the backloading
program.

The total quantity of Aviation allowances to be
auctioned in 2015 is

The aviation allowances to be auctioned for the
years 2013 and 2014 will be auctioned before 30
April 2015, which is the compliance deadline for
aircraft operators for the years 2013 and 2014.
Issue LXVIII
The contents of the Newsletter is not a recommendation, either implicit or explicit, to buy or sell emission permits.
Contact: David Boles, Compliance Markets - M: +353 86 160 2115 L: +3531 4433 584