National unified carbon trading market is expected to start at the end of next year

wallpapers Industry 2020-12-09
Wang Shu, deputy director of the Department of domestic policy and implementation of the national development and Reform Commission's Department of climate change, recently disclosed that "we hope to start a unified national carbon trading market by the end of 2016 or the beginning of 2017."

some industry views believe that the move may mark the opening of a new market of up to 100 billion yuan.

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previously reported by our newspaper, the national carbon trading market will initially include 5 1 industries (power, metallurgy, nonferrous metals, building materials, chemical industry and aviation services) with annual emissions of more than 26000 tons, and the carbon emissions trading volume may involve 3-4 billion tons. The reporter learned that the national carbon emission trading market will be constructed in stages. From 2014 to 2016, it will complete the design and construction, establish a team, improve the working mechanism and improve the basic capacity; from 2017 to 2020, it will start the market transaction, explore the operation rules, improve the market system, and steadily develop the market; After 2020, in the stable deepening stage, we will expand the coverage, increase trading products and explore international convergence.

pilot areas to carry out diversified innovation.

with the start of the national unified carbon market construction, the development of carbon trading pilot platforms in Beijing, Tianjin, Shanghai, Chongqing, Hubei, Guangdong (Guangzhou) and Shenzhen has set the development of "national" platform as the highest development goal. Mo Lingshui, an expert in carbon market of

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, pointed out that who can achieve the highest goal in the future depends on who can take the lead in terms of internal system construction and market operation scale.

China carbon market analyst Chen Shaocheng told reporters that at present, the innovation measures of each pilot market have their own merits. Foreign investors are allowed to participate in trading in Shenzhen and Hubei, swap products are launched in Beijing, and regular quota auctions are carried out in Guangdong. In general, different exchanges have accumulated different valuable experiences for the unified carbon market.

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are the issues that the state, local governments and enterprises should participate in the construction of national unified carbon market. Wang Shu expressed the hope that the state, local governments and enterprises can form a mechanism of linkage and mutual support. At the national level,

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focus on the construction of the legislative system, formulate the national quota total amount and allocation scheme and related management supporting rules, including carbon emission trading management regulations, trading institutions management measures, third-party trading institutions management measures, verification guidelines and registration system and other infrastructure construction. The focus of this year and next year is to issue regulations on the management of carbon emission rights. At present, the draft for comments has been completed and is being revised and improved according to the opinions of various parties. In the next step, a hearing will be held according to the requirements of the State Council, and then revised and submitted to the Legislative Affairs Office of the State Council. At the local level,

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should cooperate with the state in policy design, including capacity-building training, and the most important thing is to help the state do a good job in reporting and verifying carbon emissions of enterprises. It is reported that after the launch of the national carbon market, local governments are mainly responsible for the specific allocation of quotas and the performance level of relevant enterprises. Wang Shu told reporters that he hoped that after it was launched at the end of 2016, it would be operated in accordance with the principle of national unification and local implementation, that is, the national unified standards and unified requirements, and the specific connection between local competent departments and enterprises. On the enterprise level of

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, in recent two years, it mainly cooperated with the state to participate in some training, including the establishment of asset management system and verification system within enterprises. Wang Shu said that many enterprises, especially central enterprises, have established teams for Carbon Asset Management.

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need to learn from the European Union to build a national market.

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according to the reporter's understanding, the trading activity of the seven pilot carbon trading markets in China is relatively low compared with the mature foreign markets.

Chen Shaocheng told reporters that there are many factors leading to the active trading, such as: the participation of investment institutions or individuals, the tightness of quota issuance, the number of enterprises included in emission control, the carbon management awareness of enterprises and the willingness to participate in the transaction (including the preference for risk), and the richness of trading tools.

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in fact, according to foreign experience, in order to really increase the trading volume, it is necessary to launch appropriate derivatives, such as carbon futures. With appropriate derivatives, emission control enterprises or investment institutions can hedge the price or investment risk more effectively and cheaply, and promote active trading. In addition, many experts pointed out that the determination of carbon emission quota and carbon price must draw lessons from the EU carbon emission trading market. Wang Shu believes that the most important thing at present is to formulate a carbon quota allocation scheme. He wants to draw on the experience of Shenzhen and other pilot cities, and put forward the scope of national market coverage, total amount setting and quota allocation scheme.

according to the reporter, the EU is currently the largest carbon emission trading market in the world, and is also considered to be the most advanced region in the construction of carbon emission system. However, in recent years, its carbon price has dropped sharply, from 30 euro per ton to 5 Euro per ton, which means that the amount of free carbon emission is too much, which makes carbon trading lose the deterrent power of enterprises to reduce emissions.

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Chen Shaocheng pointed out that the collapse of the EU carbon price was due to the excessive quota issuance (because the sharp economic decline was not expected when the quota was set); on the other hand, it was also due to the lack of effective and flexible quota adjustment mechanism in the system design. Therefore, China should consider establishing corresponding intervention mechanism at the beginning of the design: to put in a certain amount of reserves when the quota price is too high, and to absorb the reserves when the quota is seriously surplus. Zheng Shuang, director of the clean development mechanism and carbon market management department of the national climate strategy center of

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, believes that the reference of the pilot project for the national system construction is to strengthen the data establishment, scientifically formulate the total carbon trading target, and formulate the adjustment mechanism of quota.

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financial institutions may enter the

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financial institutions. It is generally believed that in the next two years, with the start of the national carbon market, this 100 billion market will become a new wind outlet, and various institutions will swarm to it. Ji Cheng, managing director of

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Zhaoyin Guojin Investment Co., Ltd., said that intermediaries and financial institutions serving in this market have very rich industry experience, technology and data,I hope these values can be reflected in the service.

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were officially launched on April 8, this year by Hubei carbon emission trading center and Zhaoyin Guojin Investment Co., Ltd., the first Carbon Trust Fund in China, with a capital scale of 50 million yuan. Ji Cheng said that at that time, considering that there were only seven pilot provinces and cities in the national market, the mutual market capacity was very limited, so the fund scale was limited. "According to the roadmap of the national carbon market, we think there should be a lot of room for imagination in the future fund size." Ji Cheng said that after the launch of the national carbon market, there will be enough space for various financial institutions to enter the market in a large scale. More and more banks, trusts and private equity funds will focus on the blue ocean market and seize the share. "Finance is a service industry, and service consciousness is reflected in the innovation of financial products." Ji Cheng pointed out that the implementation of the quota is mandatory, which can be regarded as an asset, but most enterprises have not yet regarded the emission right as an asset for operation and management. If the emission right becomes an asset, can we consider the pledge financing of asset with repurchase right? Financial institutions like to engage in pledge business with real estate enterprises or enterprises with physical assets. Similarly, can financial institutions allocate capital to quota enterprises? This is a new direction that financial institutions should consider. "


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