Green NGO the Environment Defense Fund said that by the time the program is fully implemented from 2020, it is expected to cover some 5 billion metric tons of CO2, which would account for a sizable chunk – roughly 15 percent – of total global emissions.
“The world has never before seen a climate program on this scale,” said Environmental Defense Fund president Fred Krupp. “It is important that the world’s largest emitter should lead on climate, and that is precisely what China is doing by launching its national emissions trading system. China has stepped up its climate leadership dramatically in recent years, and is now increasingly seen as filling the leadership void left by the U.S.”
Initially, nine regions and cities, including Jiangsu, Fujian and seven regions where pilot schemes have been operating, will coordinate to establish the ETS system, Reuters reported. The intention is that the market will become the primary mechanism for ensuring China remains on course to peak its total emissions by 2030 at the latest, in line with the country’s Paris Agreement pledges.