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Global W2E market stabilises down over the Easter Period

The latest International W2E market bulletins, covering trade in global Waste-to-Energy (W2E) markets and the Alternative Energy Index have been published.

 According to the bulletins, published by Savage Resource, the European waste-to-energy markets have seen rates paid to end-users stabilise, but overall prices have seen limited movement over the quieter Easter period.

Temperatures in northwest Europe have been cooler than expected which has helped boost heating demand for RDF. Some cement producers are also increasing output ahead of the spring and summer construction season, which will help demand for SRF.

Exports of waste from England increased in February to their second-highest on record, according to latest figures from the Environment Agency. They show exports were 311,464 tonnes in the month, rising from a revised 295,691 tonnes in January. January had originally been stated at 242,156 tonnes.

This means 607,155 tonnes was shipped in the first two months of this year – 151,236 tonnes more than in the first two months of 2015. It also means that the UK has exported more waste-for-energy than the corresponding month the previous year for 55 out of 56 months, since exports began in July 2010.

European waste-to-energy suppliers are able to defend fees to end-users, as a lack of spot cargoes is tightening the market.

Prices are volatile with fees in Holland and Germany improving for suppliers in recent weeks, led by better than expected CHP demand, and from industrial users.

The improving outlook was partly reflected in recent trade statistics, which showed stronger demand in northern Europe. More longer-term deals have been signed, which is restricting the availability of spot tonnes.

Meanwhile, SRF exporters continue to look outside Europe to place cargoes in emerging markets

Uncertainty surrounding in/out referendum in the UK is also affecting sentiment, traders said. The impact of a Brexit on the pound is likely to be negative and could offer potential savings to buyers.

If you would like to download the reports, please click the corresponding links:

  • International W2E Market Bulletin – Issue 11 (insert link)
  • International W2E Market Bulletin – Issue 12 (insert link)

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