China 'launches its first carbon trading scheme'

Jun 18, 2013
Cooling towers at a coal-fired power plant in the suburbs of Beijing. China, the world's largest carbon emitter, was set Tuesday to launch its first carbon trading scheme aimed at reducing emissions, state-media said.

China, the world's largest carbon emitter, was set Tuesday to launch its first carbon trading scheme aimed at reducing emissions, state-media said.

A platform allowing businesses in the southern city of to trade permits to emit carbon was established on Sunday, with trading due to start on Tuesday, China's official reported.

China plans to open similar schemes in seven areas before 2014, in what analysts say is a step towards a nationwide carbon market.

"This is the first step towards a national system," Li Yan, head of environmental group 's climate and energy campaign in China, told AFP.

But analysts have said that the scheme, which covers just 38 percent of the city's emissions, is unlikely to produce significant reductions in overall emissions.

"It only covers less than half of the city's emissions, so the effectiveness in terms of carbon cuts needs to be seen," Li said.

"To me the pilot is necessary homework to get the county prepared on capability to manage carbon."

Because of its reliance on coal and heavy industry, China has emerged as the top producer of climate-changing , ahead of the United States, though its per capita emissions remain far below the US.

China has no targets to reduce absolute carbon emissions and government officials have said they will continue to rise until around 2030.

Beijing is aiming by 2020 for a 40 percent reduction from 2005 levels of carbon intensity, a measure of the amount of carbon produced per unit of .

Under the trading schemes, companies will be assigned an emissions quota and will be able to profit from selling excess permits to other firms if they emit below their quota, reports said.

Explore further: China is outsourcing carbon within its own borders, study finds

add to favorites email to friend print save as pdf

Related Stories

China plans carbon-trading pilot scheme

Jul 18, 2011

China will introduce a pilot scheme for carbon emissions trading and gradually develop a national market as the world's largest polluter seeks to reduce emissions and save energy, state media said.

China 'will not accept' carbon tax on EU flights: report

May 19, 2013

China will not pay for CO2 emissions by its airlines on flights within Europe, a top civil aviation official reportedly said after the European Commission warned eight Chinese firms face fines for nonpayment.

Recommended for you

US delays decision on Keystone pipeline project

Apr 18, 2014

The United States announced Friday a fresh delay on a final decision regarding a controversial Canada to US oil pipeline, saying more time was needed to carry out a review.

New research on Earth's carbon budget

Apr 18, 2014

(Phys.org) —Results from a research project involving scientists from the Desert Research Institute have generated new findings surrounding some of the unknowns of changes in climate and the degree to which ...

User comments : 0

More news stories

China says massive area of its soil polluted

A huge area of China's soil covering more than twice the size of Spain is estimated to be polluted, the government said Thursday, announcing findings of a survey previously kept secret.

UN weather agency warns of 'El Nino' this year

The UN weather agency Tuesday warned there was a good chance of an "El Nino" climate phenomenon in the Pacific Ocean this year, bringing droughts and heavy rainfall to the rest of the world.

UAE reports 12 new cases of MERS

Health authorities in the United Arab Emirates have announced 12 new cases of infection by the MERS coronavirus, but insisted the patients would be cured within two weeks.