Why the world's largest carbon market is experiencing a boom like never before

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The EU's benchmark carbon price surpassed 50 euros for the first time ever earlier this month, having stood at around 20 euros before the coronavirus pandemic.

An annual Carbon Market Survey by Refinitiv, published on May 11, found that the cost of polluting in Europe is increasingly influencing investment decisions. Its survey of 303 respondents — mostly traders or regulated emitters in the global carbon market — also found that the majority believe EU carbon prices will continue to rise in the coming months.

"I know I'm going to be wrong. It's not going to be 110 spot on but it could happen a little bit earlier, it could happen a little bit later. It could be a little bit lower but it could be much, much higher than that," Steele said earlier this month. A view of open freight wagons full of coal under smog during a day that the level of PM2.5 dust concentration amounted to 198 ug/m3 on February 22, 2021 in Czechowice Dziedzice, Poland. The central eastern European country has the EU’s worst air, according to a report published by the European Environment Agency .

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