China has completed the registration and trading systems for the relaunch of the suspended China Certified Emission Reduction program, which could help boost the nation's efforts to cope with climate change, according to China Beijing Green Exchange.
Under the CCER program, companies can voluntarily earn carbon credits by taking action to reduce carbon emissions, such as by promoting renewable energy generation and afforestation.
The exchange has finished developing all the business processes involved in the registration system, including the registration and issuing of emission reductions, said Wang Naixiang, president of the exchange.
The core business functions for the trading system are also ready to operate. Both systems are poised for acceptance inspection, Wang said on Saturday during the launching ceremony for the construction of a green development demonstration zone in the Beijing Municipal Administrative Center.
Launched in 2012, the program was suspended in March 2017 by the National Development and Reform Commission, the country's top economic planner, due to the low trading volume and requirements for its standardized operation.
Demand for the CCER's relaunch has been ignited by the expansion of carbon trading and the scarcity of carbon credits available on the market.
In July 2017, China launched its national carbon trading market, the world's largest. In the market, which currently involves 2,162 power generators, enterprises can use CCER credits to offset 5 percent of the carbon emission allowances they need to buy.
The credits have also been traded in pilot carbon trading markets, which were inaugurated in 2013 in six provincial-level regions, including in Beijing, and Guangdong and Hubei provinces. A separate market was also launched in Shenzhen, Guangdong.