What is the model of carbon emission trading in the coal chemical industry, and how is it carried out?
Thread Content
Could that expert explain the carbon dioxide emission trading model in the coal chemical industry, and what tasks do companies need to carry out for such trading? Thank you
There are seven local carbon trading markets in our country, including: the Guangzhou Carbon Emission Rights Exchange, the Shenzhen Emission Rights Exchange, the Beijing Environment Exchange, the Shanghai Environment and Energy Exchange, the Hubei Carbon Emission Rights Exchange, the Tianjin Emission Rights Exchange, and the Chongqing Carbon Emission Rights Exchange.
Just like trading stocks, individuals or businesses need to open an account at a carbon emission rights exchange.
Could you please explain it in detail? Thank you. I’m a newcomer and don’t understand this very well
1. Carbon emission rights are quotas for greenhouse gas emissions by enterprises over a certain period, as determined by the local environmental protection department. When a company’s actual emissions exceed its quota, the excess amount must be purchased at a cost ； When a company’s actual emissions are lower than its quota, the surplus can be carried forward for future use or sold. 2. The buying and selling of carbon emission rights must take place at carbon emission rights trading centers; both enterprises and individuals can participate in this process. In China, there are 7 such trading centers located in Beijing, Tianjin, Shanghai, Chongqing, Hubei, Guangdong, and Shenzhen. 3. Current situation: Carbon trading is inactive with low liquidity, and it is expected to see steady but rapid progress in the future. 4. The trading prices of carbon quotas vary significantly among different exchanges, ranging from 10 yuan to 60 yuan per ton; in some markets the price can reach as high as 80 yuan per ton, with an average price of around 20 yuan per ton.