China‘s National Development and Reform Commission requested all companies that emitted more than 13,000 tons CO2e in 2010 to start reporting their future annual emissions of all six major greenhouse gases, Reuters reported on Tuesday (March, 18). The measure is a necessary step towards building a nationwide emissions database and developing a national carbon market.
The lack of accountable emissions data is among the key challenges in building a national ETS, because imposing facility-level carbon caps is difficult if no one knows how much each power plant or factory emits. The NDRC did not specify a plan for how and when appropriate monitoring equipment would be installed across the facilities covered by the new rule, nor when mandatory reporting would begin. Analysts told Reuters they expected the rule to enter into force from 2015.
Chinese government, which has pledged to cut carbon intensity by 40-45 percent below 2005 levels by 2020, launched in June a pilot carbon markets initiative in seven cities and provinces to prepare for a national market later in the decade. It also supports local administration who want to undertake autonomous emission trading platforms.