Carbon price hits all time low on EU exchange

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1/21/13, "Carbon price under EU emissions Trading System hits all-time low," BBC

"The price of carbon hit a record low in Europe on Monday as the over-supply of emissions permits during the global economic downturn continued to undermine the carbon market.

The price fell below 4.8 euros in early trading, before recovering to above 5 euros by late afternoon....

A sharp drop in demand for energy has led to a massive oversupply of permits.

Critics of the EU's Emissions Trading System also argue that the European Union issued too many permits in the first place.

The EU has proposed freezing up to 900 million permits to tackle this oversupply.

"There are too many permits because of the recession," said Isaac Valero, spokesman for EU Climate Commissioner Connie Hedegaard."...

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