Impact on EUAs from back-loading will be muted, say analysts

Emissions - smoke stacks
Emissions expected to remain cheap: analysts

The European Commission (EC) is proposing to hold back a greater number of European Union Allowances (EUAs) than expected, but the move will only have a minimal impact on prices, analysts suggest.

On November 12, the EC released a long-awaited draft amendment to the EU Emissions Trading System (ETS) Auctioning Regulation, which would postpone the auction of 900 million EUAs between 2013 and 2015. Each EUA represents one tonne of carbon emissions.

The move comes in response to concerns that Europ