Promotion of China’s Low-Carbon Transformation with Carbon Price Mechanism

Abstract

AbstractToday’s world is in the midst of the COVID-19 and great changes that have not been seen in a century. The concept of sustainable development of green and low carbon has been globally recognized. In September 2020, President Xi announced the goal of carbon peak by 2030 and carbon neutrality by 2060, which demonstrates China’s active participation as a major country in global climate governance. Achieving the goal of carbon peak and carbon neutrality is both a great responsibility and a profound revolution for the energy and chemical industry. Since carbon trading is taken as an effective tool to reduce carbon emissions, which is put forward in the Kyoto Protocol in 1997, many countries began to actively explore the carbon market. At present, the EU carbon market has developed into the carbon market with the largest trading scale, the most mature mechanism, the richest products, the most active trading and the highest carbon price in the world. China’s carbon market has also moved from the regional pilot stage to the new stage of the establishment of the national carbon market, with great development potential. Energy companies at home and abroad have also increased their participation in the carbon market and vigorously promoted energy transformation. It is suggested that the Chinese government should vigorously promote the integration of domestic and international carbon markets, and energy enterprises should pay attention to and make overall plans for carbon asset management, and actively explore “carbon–neutral” oil and gas trade.KeywordsCarbon tradingLow carbon transitionEnergy Enterprise