China Working on Launching a Nationwide Carbon Trading Market
China is working on launching a nationwide carbon emission trading market by 2017, in efforts to fulfill the commitment of having a low carbon future. China will make a nationwide carbon emission trading market at a faster pace after a smooth operation of the seven pilot schemes that were held across the country. Transactions from seven pilots schemes reached a total of 1.2 billion yuan this involves gas emissions quotas of 40 million tons based on a report released by the National Development and Reform Commission.
The core in building a national emission trading market lies within reasonable quota plans, detailed regulations, sound market mechanism and an improved registration system. China started the pilot carbon trading in 2011 and gave approval to the seven schemes to Beijing, Shanghai, Chongqing, Tianjin, Guangdong, Hubei and Shenzhen. Under the pilot schemes, enterprises that produce more than their share of emission are allowed to purchase unused quotas on the market from enterprises that causes less pollution.
China is aiming to cut down on carbon dioxide emissions per unit of gross domestic product by 60 to 65 percent from the 2005 level before the year 2030. China intended nationally determined contributions an action plan that was submitted to the Secretariat of the U.N. Framework Convention on Climate Change that the goal is a huge step past China’s previous emission control target that aimed to decrease of 40 to 45 percent from the 2005 level before 2020.