The Ministry of Ecology and Environment in China has made substantial strides towards relaunching the China Certified Emission Reduction (CCER) program, an optional initiative that will enable participants to acquire tradable carbon credits.
In a recent development, the ministry disclosed the methodologies that will be employed to quantify net emission reductions or removals for various project types. These include forestation, solar thermal power, offshore wind power generation, and mangrove preservation.
Industry insiders believe that the recent publication of a crucial regulation, which serves as a significant document for the smooth operation of the mechanism, indicates that the program may be relaunched in the near future.
The 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. As countries worldwide strive to reduce their CO2 emissions and combat climate change, carbon trading has become an increasingly important tool for those efforts.
The CCER program, initiated in 2012, was temporarily put on hold in 2017 by the National Development and Reform Commission, the leading economic planner in China. The decision came as a result of low trading volume and the necessity to streamline its operations. Prior to the suspension, the program boasted a wide range of over 200 methodologies.
As part of a larger institutional reorganization within the State Council in 2018, the Ministry of Ecology and Environment was assigned the task of addressing climate change and reducing emissions, which also included the management of the CCER program.
According to Liu Youbin, the spokesperson for the MEE, the ministry is working diligently to relaunch the China Certified Emission Reduction program this year and has successfully completed the necessary infrastructure for its implementation.
The program’s reintroduction could provide additional flexibility and options for entities participating in China’s carbon trading market, strengthening the country’s efforts in decarbonization and environmental preservation.