Hanergy CEO Li proposes China carbon bank

Published 08:00 on March 4, 2015  /  Last updated at 15:37 on May 11, 2016  /  China, China's Offset Market  /  No Comments

China should set up a carbon bank that would allow households to earn offsets for using clean energy sources, Hanergy CEO Li Hejun proposed Wednesday during a parliamentary meeting.

China should set up a carbon bank that would allow households to earn offsets for using clean energy sources, Hanergy CEO Li Hejun proposed Wednesday during a parliamentary meeting.

Li, a self-made renewable energy billionaire and China’s third richest man according to Forbes, made the proposal as a member of the Chinese People’s Political Consultative Conference (CPPCC), an advisory body to the ongoing annual parliamentary session.

More than 50 million families across China currently use new, cleaner energy sources, and if households could earn Chinese Certified Emissions Reductions (CCERs) for opting for clean energy, millions of tonnes of carbon emissions could be saved, Li said in a proposal submitted to the conference.

Companies covered by China’s seven pilot carbon markets can use CCERs to cover 5-10% of their emissions, and the offsets will also be included in the national ETS, due to start next year.

Li did not make it clear whether the bank should be state-owned or private, but said the government should cancel running fees associated with offset projects, like validation, verification and consulting costs, to make it attractive for households to sign up.

China aims to use its carbon market as the main tool to stop emission growth by 2030, although it remains uncertain whether Li’s proposal will find support among the political leadership.

CPPCC members submit hundreds of proposals each year, but few of them end up getting implemented.

By Stian Reklev – stian@carbon-pulse.com