China’s Carbon emission rights trading scheme launched
Shanghai on Thursday launched a pilot carbon emission rights trading scheme in a bid to encourage carbon emission reductions.
About 200 major local polluters, including industrial companies whose annual carbon dioxide emissions reach 20,000 tonnes and non-industrial enterprises whose annual emissions total 10,000 tonnes, will take part in the trading, the city government said in a statement.
Each of the carbon market participants will get a free quota for a certain base carbon emission. Companies failing to meet emission cut targets will need to buy quota from those whose emission cuts exceed the targets.
This thus created a new, market-oriented method for major polluters to meet emission cut targets, executives from major steel maker Baosteel said, adding that aggressive emission cutting companies would get earnings from the program