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China moves forward with cap and trade scheme

November 6, 2011
China moves forward with cap and trade scheme

GLOBE-Net, November 4, 2011 - China intends to establish a seventh emissions trading system, consistent with the National Development and Reform Commission (NDRC).

This latest system will begin in the city of Shenzhen, which is expected to develop it's own scheme despite being located in the province of Guangdong - already approved for a cap and trade system. Shenzhen's GDP grew to $150bn USD in 2010 and has a larger economy than countries such as Kazakhstan and New Zealand.

The central government of China has identified emissions trading as the most cost effective tool for encouraging companies to cut greenhouse gas emissions, and intends to use the experience from the seven markets to assist with designing and launching a national system in the coming years.

This news follows the decision of the California Air Resources Board (ARB) unanimously approving a final draft of the state's cap and trade plan. (See GLOBE-Net article "California to proceed with cap and trade.")

Both Shenzhen and California are heavy emitting jurisdictions and recognize that balancing environmental sustainability and economic growth is not a zero sum game.

Cap and trade systems encourage heavy polluting legacy industries, such as shale gas extraction, to evolve cleaner business models, while at the same time unlocking the economic potential embedded in the establishment of an entirely new, and multi-billion dollar market.

Globe _2012_180x 150_01For the first time in its highly successful 22-year history, the GLOBE Conference and Trade Fair, taking place March 14-16, 2012 in Vancouver wll include a large national pavilion by the People's Republic of China. Get More information on GLOBE 2012 here


PICS Logo -smallPICS News Scan - 8 November 2011 - Produced by ISIS, Sauder School of Business, UBC


Source: en.ndrc.gov.cn
 
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