EU ETS mechanics
EU ETS 2 vs EUA: what desks should separate
ETS2 is a different market. Spillover is the risk, not the ticker.
Updated 2026-08-05 · Model output for professionals · Not investment advice
Separate books
EUA is the existing stationary / covered industrial and power (plus aviation/maritime steps) market. ETS2 targets buildings and road transport under different rules and timing. Do not price them as one fungible contract.
Why EUA desks still read ETS2
Policy attention, political spillover, and any design links in reform packages can move sentiment or future architecture. Track as scenario risk, not as a substitute for Day+1 EUA demand.
FAQ
- Can I deliver ETS2 into EUA?
- Treat them as separate compliance markets unless and until regulation explicitly links them. Do not assume fungibility.