EUA prices started last week strongly, rising to a new high of €88.53/t on Monday, as the market digested several ETS policy developments. The EU’s €430mn allocation of ETS revenues for sustainable aviation fuel supported the broader decarbonization narrative, while the 2026 ETS review for transport highlighted potential changes to carbon pricing coverage. Parliament’s Tuesday position on the Market Stability Reserve then coincided with a reversal, with DEC26 falling from €88.29/t to €85.61/t by the close.
Selling continued into Wednesday, when prices reached a weekly low of €84.07/t, amid further policy signals including the Council’s agreement to increase free allowance allocation for energy-intensive sectors. The move was followed by renewed buying on Thursday and Friday, lifting it back to €86.89/t. Overall, these four key developments show the market’s sensitivity to competing signals. Stronger decarbonization ambition versus measures aimed at market stability and industrial competitiveness have real effects on pricing.