China Relaunches Voluntary Carbon Credits Halted in 2017
National trading of the China Certified Emissions Reduction credits began Monday in Beijing, state-owned CCTV reported. Issuance of the credits was halted in 2017 to prevent surplus supply.
(Bloomberg) -- China has relaunched its long-stalled voluntary carbon offset market, offering funding to projects with the potential to curb emissions but which struggle to generate profits.
National trading of the China Certified Emissions Reduction credits began Monday in Beijing, state-owned CCTV reported. Issuance of the credits was halted in 2017 to prevent surplus supply.
Efforts to restart the market have been ongoing for more than a year, with the China Beijing Green Exchange chosen to host trading. Initially, the only credits available will be for projects approved before 2017. The government is expected to start approving new projects at a later date.
Last year, the government said new approvals would include solar thermal power, offshore wind, afforestation and mangrove restoration.
Institutions that validate projects and verify emissions should get accreditation later this year, paving the way for new credits in 2024, said Song Yutong, a carbon analyst with the London Stock Exchange Group.
China has a separate national market for emissions allowances that covers the power sector, which is slated to expand to other industries as soon as ( article continues at BNN Bloomberg )