The price of permits on the European Union's carbon market reached 100 euros ($106.57) a tonne for the first time on Feb. 17, reflecting the increased costs that factories and power plants must bear when they pollute.
EUAs are the primary currency in the European Union's Emissions Trading System (ETS), which requires manufacturers, electricity firms, and airlines to pay for each tonne of carbon dioxide they release as part of the EU’s commitment to reaching its climate targets.
Traders said that cooler temperatures combined with reduced wind speeds would increase demand for power from Europe's fossil-fuel-powered facilities which are mandated to purchase carbon permits to offset their emissions.