Industry News | Zou Lei, member of the National Committee of the Chinese People's Political Consultative Conference: Strengthen the construction of the legal system of the carbon market and enrich the participants of the carbon market

Since its official opening in July 2021, the development and construction of the national carbon emission trading market has attracted much attention in the process of "dual carbon" goals. Zou Lei, a member of the National Committee of the Chinese People's Political Consultative Conference (CPPCC) and chairman of China Datang Group, said that the carbon trading system will not only play a role in controlling and reducing emissions and promoting green and low-carbon development, but will also become an important market tool to address green barriers and improve China's international carbon pricing capacity.

According to official data, as of February 15, 2023, the cumulative total turnover of the national carbon emission trading market since its opening was about 230 million tons, and the cumulative total turnover is about 10.5 billion yuan, and the trading activity needs to be improved. In fact, as an important market-based tool to influence enterprises' willingness to emit and regulate greenhouse gas emissions, the carbon emission trading market has attracted more and more attention from governments.

China's carbon market must not only be built, but also built well. Based on the relevant situation, Zou Lei gave five suggestions.

The first is to strengthen the legal system of the carbon market. The Interim Regulations on the Administration of Carbon Emission Trading at the national level will be issued as soon as possible, and relevant laws and regulations on climate change will be further studied and formulated. Accelerate the construction of carbon-related laws and regulations in the fields of finance, taxation, finance, and justice, improve systems at all levels, and ensure that the whole process of acquiring, transferring, and canceling carbon assets by enterprises has laws to follow. At the same time, make preparations for the application of current national laws and regulations for legal disputes arising from the process of carbon asset trading.

The second is to enrich the participants in the national carbon market as soon as possible. accelerate the process of entering the carbon market in key emitting sectors other than electricity; Accelerate research, promote institutions and individuals to enter the market, do a good job in investor suitability management, and effectively enhance the activity of the carbon market.

The third is to formulate a timetable for the construction of the carbon market and a plan for the allocation of carbon quotas. The carbon market should take into account the difficulties of rapid changes in short-term technology and energy structure to avoid energy security problems caused by the increase in carbon costs.

Fourth, accelerate the connection between the emission reduction market and the carbon market. Accelerate the construction of a national certified emission reduction system at the current stage of carbon peaking, promote emission reductions to enter the carbon market as soon as possible, and form a mechanism for realizing the value of emission reductions in carbon sinks, carbon capture and utilization.

Fifth, accelerate the internationalization of the carbon market. At the national level, we will promote the construction of international carbon trading venues, do a good job in the protection of carbon markets and carbon asset data, and radiate the "Belt and Road" countries and ASEAN countries. Encourage research and development of independent carbon credit products, and enhance the voice of international carbon pricing.

Source: China Industry News