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Carbon traders foresee lacklustre market in 2010

Optimism in the carbon market has been curbed by the disappointing results of the Copenhagen climate change meeting in December 2009 and traders now expect muted market activity in 2010.

Participants have forecast a flat market in 2010, with prices for European Union Emissions Allowances (EUA) and Certified Emission Reduction (CER) credits barely moving in a curve. Panellists speaking at the Point Carbon conference in Amsterdam this week believe the floor for CERs will be around the €8 level, which is generally regarded as cheap. Currently the December 2010 EUA contract is around

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