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illuminem summarizes for you the essential news of the day. Read the full piece on SCMP or enjoy below:
🗞️ Driving the news: China has rebooted its voluntary carbon market, the China Certified Emission Reduction (CCER) scheme, which was suspended in 2017
• This move expands the market beyond the compulsory national Emissions Trading Scheme (ETS), allowing a broader range of enterprises to purchase carbon credits
🔭 The context: The CCER, launched in 2012, complements the ETS, which started in 2021 and is the world's largest carbon market by emission volume
• The CCER aims to encourage diverse carbon reduction projects, such as forestation and renewable power generation
• This revival is part of China's commitment to peak carbon emissions by 2030 and achieve net zero by 2060
🌍 Why it matters for the planet: The enhancement of China's carbon trading mechanisms, including the CCER, is significant for global climate efforts
• It indicates China's proactive approach in involving various sectors in carbon offsetting, contributing to the global goal of reducing greenhouse gas emissions
⏭️ What's next: The revamped CCER scheme is expected to evolve, potentially allowing individuals to sell carbon credits generated from green behaviors
• Further regulations, especially regarding cross-border trading and the connection of the CCER with global markets, are anticipated to boost trading activity and market engagement
💬 One quote: "This is a milestone for China’s carbon market construction," (Qin Yan, lead carbon analyst at the London Stock Exchange Group)
📈 One stat: The ETS covers 2,532 key emitters in China's power generation sector, accounting for about 4.7 billion tonnes of carbon emissions in 2022, roughly 40% of the national annual emissions
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