Changes in Cap-and-Trade System prices over the past three months
Since the last Blue Bulletin, the price of emission units in the secondary market dropped from US$30.00 on November 24, 2021 to US$28.02 on March 11, 2022, a decrease of 6.6% (US$1.98, or C$2.53).
Two recent events have influenced the price of emission units. First, a slight price increase followed the release of the results of the February 16, 2022 joint auction of emission units, where the current vintage emission units sold at a record price of US$29.15 (C$37.14). This is the fourth consecutive auction in which the price of emission units sets a new record. The market adjusted slightly upward following the announcement of the auction results, surpassing the US$30 mark for the first time since January 20, 2022.
More recently, the onset of the crisis in Ukraine has affected emission unit prices, resulting in a significant drop in prices. On March 7, 2022, the closing price of emission units on ICE reached a low of US$24.80. It has since rebounded slightly, but remains below the peak reached in November 2021.
Read the other subjects from this bulletin
Decarbonization process
Case studies in energy efficiency
Market outlook against the backdrop of the conflict in Ukraine