This newsletter was published 28.10.2026 at 15:51 pm CEST

The current prices on the European carbon market are as follows:

EU emission allowances extended their rally, reaching a new nine-month high as the energy complex continued to strengthen. November TTF futures moved above 100 EUR for MWh, while November German power futures traded above 225 EUR for MWh, reflecting increasingly tight market conditions ahead of winter. EUAs have remained resilient as well, with buyers stepping in whenever prices come under pressure. Prices initially consolidated around 88 EUR for several sessions, with little selling pressure following the daily auctions. The bullish energy backdrop is being reinforced by weather fundamentals. Below-average temperatures and limited wind and solar generation are expected to increase reliance on conventional power plants, supporting demand for gas and coal and, consequently, EUAs. With gas prices already high and power trading at elevated levels, the balance across European energy markets remains tight. Notably, the winter heating season has yet to begin in earnest. A further deterioration in temperatures, renewable output or supply availability could put additional pressure on the energy complex and provide further support for prices. However, after the recent rally, some profit-taking would not be surprising, particularly as EUAs approach the psychological 90 EUR threshold. Looking ahead, the near-term outlook remains constructive, with strong energy markets and supportive weather conditions underpinning prices. However, a prolonged period of elevated gas, power and carbon prices could increasingly test political tolerance.

German power prices are up by 12.11 EUR since last week, with the front-year contract trading at 159.70 EUR/MWh. API2 coal prices are down by 3.75 USD since last week, with the Cal-27 contract trading at 144.25 USD/tonne. Front-year gas prices are up by 6.425 EUR since last week, with the TTF Cal-26 trading at 79.095 EUR/MWh. EUR/USD is down by 90 points since last week and is currently trading at 1.1130.

Price development of EUA Dec2026 futures contract