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Lessons learned from China’s regional carbon market pilots

Junjie Zhang, Zhenxuan Wang, Xinming Du

Abstract:
This paper gives an overview of the performance of China's seven regional carbon market pilots and the range of approaches they have used. We assessed the outcomes of these pilots using publicly available secondary market trading data. The differences in market performance are explained by the design of key market elements such as emission allowances, covered sectors, allowance allocation, monitoring, reporting and verification, compliance and penalties, and offset market. The lessons learned from the regional carbon market pilots are used to provide insights that can aid in the design of the upcoming national carbon market. Keywords: Climate change, carbon market, China
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Keywords: Climate change, carbon market, China

DOI: 10.5547/2160-5890.6.2.jzha


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Published in Volume 6, Number 2 of The Quarterly Journal of the IAEE's Energy Economics Education Foundation.

 

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