Hungary expects significant revenue from auction of carbon-dioxide quota units
The Hungarian state is to put 1.2 million in carbon-dioxide emission units up for sale, with the auction for them scheduled for December 11 and, if necessary, December 18, the Finance Ministry, responsible for the sale, has told MTI.
The state could collect revenues of some €10 million from the sale, Econews calculated based on recent market prices between €8.4-9 per unit. The emissions units to be sold in accordance with the EU Emissions Trading Scheme will be sold via electronic autcions through the euets.com CO2 trading platform operated by the Vertis group. The Finance Ministry statement noted that the Hungarian state is to allocate emissions units equivalent to 31.7 million tonnes of carbon-dioxide per year in the first period of the EU ETS between 2005-2007.
Under the National Distribution Plan for this period, 2.5% of the total amount, or 2,374,569 emission units, can be allocated for payment. Auction offers can be made for a minimum of 1,000 units. In addition to members of the euets.com exchange operating on CEE markets, any member of the European exchange association Climex can take part directly in the auction. Climex members are euets.com, New Values, the APX Group and SENDECO2.
Further participants can join the auction through brokers with stock exchange membership with euets.com or Climex. The price of carbon-dioxide units on the European Union's "climate exchanges" has been very low over recent months. The lowest price so far has been €8.4 per unit on November 17. The market closed at €9.1 on Friday. Experts now predict a further fall in prices, with several countries now preparing to offer their marketable quota, while major buyers - energy companies - have already purchased the necessary quotas. (Mti-Eco)
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.