Report explores progress of China’s carbon market
China progresses toward establishing its carbon market, the largest in the world
Report published: March 30, 2020
China’s national emissions trading system is at the center of its climate policy. Since launching seven carbon emissions trading pilot programs in 2013, the country has taken several important steps toward establishing what would mount to be the world’s largest market-based climate program.
Environmental Defense Fund, which has been present in China for close to 30 years and provided technical support in the design of the pilot programs, has followed developments of China’s national carbon market closely. In 2018, EDF issued a report evaluating the market’s initial phase (2017-2018).
The follow up to that report, "The Progress of China’s Carbon Market 2018-2019 " notes that over the last two years, China has comprehensively improved legislation, system design, infrastructure, capacity and other work related to the national carbon market.
The report looks at developments of the China’s national carbon market in the following areas:
- Market Framework
- Legal System
- Government Reform
- Allowance Allocation Plan of the Power Generation Industry
It also outlines the prospects of China’s national carbon market, as the government plan targeted 2020 as the start of spot trading.