Record Carbon Price in Europe Will Bolster Government Budgets
- EU emission prices surge to record on stricter climate goals
- Industry is growing concerned about the pace of price gains
An electricity transmission pylon near vapor rising from the Belchatow coal powered power plant, in Belchatow, Poland.
Photographer: Bartek Sadowski/BloombergThis article is for subscribers only.
An unprecedented rally in the European Union’s carbon market is helping fill national coffers with cash, muffling concerns about the impact of soaring pollution prices on the competitiveness of the bloc’s industry.
While heavy industry has voiced concerns about the pace of carbon price increases, government reaction has been muted. It’s a tough balancing act for national leaders, who must weigh the rising income from emission permit auctions against the risk of companies relocating their production to regions with more lenient pollution rules.