• NZUs hold above $24, global prices recover.
• Expect ETS legislation to proceed
• FPO should be $35 as expected
NZUs continue to hold above $24 as we approach the 2019 surrender of May 31st. At present, some emitters are happy to buy NZUs below the $25 FPO.
Global carbon markets have continued to rally from their lows. Europe is back at €21.70 (NZ$39) up from their low of €14.34 (NZ$26) registered on March 23rd. Californian carbon is last at US$16 (NZ$27) after hitting US$11 (NZ$18) last month. In South Korea, their monthly auction on…