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Emissions Trading in China: First Steps and the Road Ahead

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Ranping Song

This week China launched its first pilot emission trading program. This development is potentially a major marker in China’s efforts to reduce greenhouse gas emissions.

The Shenzhen Emissions Trading Scheme (ETS) program will cover some 635 industrial companies from 26 industries. This is the first of seven proposed pilot GHG cap-and-trade schemes in China, which China has been developing since 2011.

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