Guangdong will hold its third CO2 allowance auction for the 2015 compliance year, offering 500,000 allowances at a minimum price of 12.69 yuan ($1.96) each.
The auction will be the third of four planned before emitters surrender allowances to the government in June to cover their 2015 emissions.
A total of 2 million allowances will be offered for the compliance year.
The minimum price is set at 80% of the average secondary market price in the three months running up to the auction announcement.
Guangdong allowances closed Friday at 15.98 yuan.
In the previous auction, bidders bought all 300,000 permits on offer for 15 yuan each, well above the 12.80 yuan floor.
By Stian Reklev – stian@carbon-pulse.com
Not yet signed up to CP Daily? Subscribe to our free newsletter here
