- 06-Aug-2008

Beijing, Aug. 6 --Two environment exchanges were launched yesterday in China as the nation moves towards more market-oriented practices in cutting emission and energy conservation.

In Shanghai, an environment and energy exchange was opened in Hongkou District which will collect and publicize information relating to the trading of emission rights.

It will create a platform for stake holders in the sector such as buyers, sellers, research houses, investment institutions and certification agencies.

The bourse will also provide services such as consultancy, project evaluation, fund management, and guidance in investment and financing.

On Beijing's Financial Street, a similar exchange was set up which will allow trading of environmental-protection technologies and emission rights of sulfur dioxide, among others.

With environment problems increasingly threatening global development, China has placed the environment on top of its agenda alongside economic and social development.

It aims to cut its energy intensity by 20 percent and major pollutants by 10 percent in the five years through 2010.

However, the lack of information and expertise of Chinese enterprises in environmental protection have undervalued the huge market so that such open platforms are in need greatly and urgently, the Beijing environment exchange said.

But an executive at the Shanghai exchange said domestic bourses won't launch carbon trading yet as state approval has to be sought.

The United Nations has a Clean Development Mechanism under which developers of registered projects that cut greenhouse gas in developing nations can sell so-called carbon credits on special bourses to polluters in industrialized nations or directly to a third party. These rich nations are subject to mandatory emission-reduction goals under the Kyoto Protocol.

(Source: Shanghai Daily)


Editor: Yao