European Union Carbon Permits Drop as Natural Gas Declines
European Union carbon allowances fell as U.K. natural gas prices dropped, curbing demand for pollution rights in the world’s biggest cap-and-trade system.
EU permits for delivery in December declined as much as 1.5 percent to 6.56 euros ($8.61) a metric ton on London’s ICE Futures Europe exchange. The contract traded at 6.60 euros as of 8:35 a.m. in London.
U.K. natural gas for next month dropped 1 percent to 67.85 pence a therm. Carbon permits sometimes track gas because power utilities burning the fuel need half the permits compared with when they use more-polluting coal.
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