Research on Chinese Emissions Trading System Pilots

Abstract

Climate change has become one of the most concerned problems throughout the world. Since carbon trading is an essential way to reduce the emission, China has conducted seven ETS pilots and the size of market as well as the level of activity is in the world-leading status. Now Chinese carbon market is in the period of rapid development, and the development of national market has been put on the agenda. All pilots grow fast with highlights in the scheme design, but still, problems are exposed in the first commitment period caused by immature market. Based on the analysis of current development of carbon market and situation of the pilot scheme, the paper explores the existing problems and put forward relevant recommendations on carbon trading market construction.