Weekly Carbon Report 20/10/2014 Market prices EUA Prices (€) Date Spot Dec 14 Dec 15 Dec 16 Dec 17 17 Oct 6.12 6.13 6.23 6.36 6.51 10 Oct 6.02 6.04 6.14 6.27 6.43 Date Spot Dec 14 Dec 15 Dec 16 17 Oct 0.07 0.07 0.38 0.38 10 Oct 0.09 0.09 0.38 0.38 Date Spot Dec 14 Dec 15 Dec 16 17 Oct 6.05 6.06 5.85 5.98 10 Oct 5.93 5.50 5.76 5.89 CER Prices (€) SWAP Spread (€)     Prices down after reaching one month high. 2030 climate and energy targets to be decided this week. Poland to Veto the Commission’s emission proposal. Angela Merkel calling for swift reforms of the EU ETS. Futures Daily Market Report for ICE-ECX European Emissions Market news Prices down after reaching one month high. The carbon market dropped on Friday after traders were reported to have capitalised on the rise of EUAs price over the previous sessions by selling their positions ahead of the Weekend. The market has increased on Thursday to a one month high after Angela Merkel announced its support for swift reforms of the EU ETS. Market participants are closely watching this week’s council meeting which will decide on the 2030 climate and energy targets, any outcome from the meeting will be a key price driver. Analysts expect volatility for the next trading sessions as the countries positions on the targets are very uncertain. The Dec14 closed on Friday at €6.13. 2030 climate and energy targets to be decided this week. European heads of Government will meet on the 23 and 24 October in Brussels to agree on the 2030 energy and Climate targets. The proposed framework consists of a legally-binding 40% reduction of GHG emissions, a 30% energy efficiency improvement and raising the renewables share to 27% of the EU's energy mix. The EU countries will also have to decide whether the efficiency and renewable targets will be binding or not. The outcome of the meeting will give a better understanding on the EU’s position at the next year Paris climate change conference. € 8 Poland to Veto the Commission’s emission proposal. The Polish deputy minister announced on Thursday that Poland, which generates most of it electricity from coal, will veto the EU proposal for tougher GHG emissions targets unless amendments are made to the proposed framework. The EU executive is proposing to cut the emissions by 40% by 2030 compared to 1990 levels, increase the energy savings by 30%, and increase the renewables stake in the energy mix to 27%. The Polish ministers stressed his concern over the impact of such targets on the European economy adding that the 40% emission cut is an “unacceptable” option. Angela Merkel calling for swift reforms of the EU ETS. The German Chancellor Angela Merkel has called for quick and sustainable reform of the EU ETS stressing that these reforms must reduce the amount of carbon certificates in the market. Merkel added that the EU has to send a strong signal to the international community for a deal on climate change. The market has increased to a one month high as a result of Merkel’s comments. EUA CER Spread 7 6 5 4 3 2 1 0 25 Oct 11 Nov 28 Nov 15 Dec 01 Jan 18 Jan 04 Feb 21 Feb 10 Mar 27 Mar 13 Apr 30 Apr 17 May 03 Jun 20 Jun 07 Jul 24 Jul 10 Aug 27 Aug 13 Sep 30 Sep 17 Oct For more information please call Simon Watson on +44 (0) 161 829 01 01 or email [email protected] Legal Disclaimer: Any pricing, market information and/or commentary contained in this Weekly Carbon Market Report (“Information”) is provided for general information purposes only. All prices are indicative and are not based on tradable prices and/or volumes. For the avoidance of doubt, [Gazprom Marketing & Trading Retail Ltd (t/a Gazprom Energy)] expressly disclaims all warranties, expressed or implied, as to the accuracy of the Information provided, or as to the fitness of the Information for any purpose. Recipients of the Weekly Carbon Market Report must not rely on the Information and must take appropriate steps to verify such Information before acting upon it.