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Lu WU Building Sustainability NZ fox glacier photo Solar power - - PowerPoint PPT Presentation
Lu WU Building Sustainability NZ fox glacier photo Solar power - - PowerPoint PPT Presentation
Lu WU Building Sustainability NZ fox glacier photo Solar power carbon offset project photo Outline What is carbon trading? What is the ultimate goal of carbon trading? Criticism of carbon trading China
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Solar power carbon offset project photo
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Outline
- What is carbon trading?
- What is the ultimate goal of carbon trading?
- Criticism of carbon trading
- China carbon trading market
- Arup relevant services
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What is carbon trading?
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$
Right to emit Right Emission Right Emission
Economic basis: Property rights Carbon pricing: a solution to negative externality caused by carbon emission/climate change Demand vs Supply Political basis: International law Kyoto Protocol Operational basis: ET, CDM, JI Trading vehicle: Allowance, Emission Reduction Unit
Right
$
Right to emit
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What is the ultimate goal of carbon trading?
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Reduce overall carbon emissions in a most cost efficient way Mitigate Climate Change For the 1st time drive human being jointly combat with a global issue of negative externality A trigger to reshape the economy
This is a vision of the future that goes beyond just surviving or enduring climate change, beyond “mitigating” and “adapting” to it in the grim language of the United Nations. It is a vision in which we collectively use the crisis to leap somewhere that seems, frankly, better than where we are right now.
- -Naomi Klein in This Changes everything capitalism vs the climate
We shape a better world
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Criticism of carbon trading
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Criticism of carbon trading
Is it a dangerous distraction?
1650 1700 1750 1800 1850 1900 1950 2000 2050 2100 2150 2200 2005 2006 2007 2008 2009 2010 2011 2012 2013
Verified emissions of EU capped emitters
Mt CO2-eq Source: EU ETS Source: IDIAC Mt CO2-eq
The capped emissions decreased while the global dependence on the fossil fuel increased. Carbon leakage happened and carbon bubble may occur if all the efforts including carbon pricing mechanism do not work.
You have been negotiating all my life. --Anjali Appadurai, 21 years old
0.00 5000.00 10000.00 15000.00 20000.00 25000.00 30000.00 35000.00 40000.00 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Global Fossil-Fuel CO2 Emissions
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The share of emissions covered by ETS only amounts to 10% of total so far.
Source: State and Trends of Carbon Pricing/2014 Criticism of carbon trading
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Source: GHG Data - UNFCCC %
We see Framework Convention on Climate Change works.
Source: UNFCCC
%
Criticism of carbon trading
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China carbon trading market
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China carbon trading
China Fossil fuels Combustion Carbon Emission Ranking
9977 MTCO2 1st out of 216 2013 Source: Global carbon atlas 8040 MTCO2 1st out of 216 2012 2.1 kgCO2/GDP 11th out of 216 2013 7.2 tCO2/person 51th out of 216 2013 1.8 kgCO2/GDP 7th out of 216 2012 5.8 tCO2/person 52th out of 216 2012 Production based Consumption based Whole Country Per Person Per GDP
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China carbon trading
Transfer of emissions=Production based - consumption based
Source: Global carbon atlas Transfer
500 1000 1500 2000 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Transfer emissions of China
1000 2000 3000 4000 5000 6000 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Global transfer emissions
12% 14% 16% 14% 12% 11% 11% 12% 17% 21% 23% 27% 29% 27% 27% 28% 27% 29% 0% 5% 10% 15% 20% 25% 30% 35% 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18
Percent of China in Global Transfer
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China carbon trading
2009.11 Cut 40-45% emissions on the 2005 basis by 2020 2011.10 Officially announce to set up 7 province/city carbon trading pilots 2012.06 China GHGs voluntary emission reduction management method (pilot version) 2013.6 Shenzhen carbon trading pilot launched 2013.11 Beijing Shanghai carbon trading pilot launched 2013.12 Guangdong Tianjin carbon trading pilot launched 2014.4 Hubei carbon trading pilot launched 2014.6 Chongqing carbon trading pilot launched and the 1st year of carbon trading compliance period closed 2014.11 Target to reach the emission peak value by 2030, non- fossil fuel ratio
- f 20% in total
primary energy consumption
China carbon/fossil fuel based energy reduction commitment and carbon trading action milestones
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China carbon trading
China carbon market size and trading price
Price Shenzhen Shanghai Beijing Guangdong Tianjin Hubei Chongqing Trading volume: 17 MTCO2 Average trading price: 35.56 CNY/TCO2 Total allowance volume: around 1200 MTCO2
50 160 388 324 130 132 50 100 150 200 250 300 350 400 450
China Carbon Trading Pilot Allowance Volume
Beijing Shanghai Guangdong Hubei Chongqin Shenzhen
Source: 2014 China Carbon Market Report by SinoCarbon Innovation & Investment
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Arup relevant services
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Arup relevant services Reduce overall carbon emissions in a most cost efficient way Mitigate Climate Change A trigger to reshape the economy For the 1st time drive human being jointly combat with a global issue of negative externality
Help the client understand how much is their emissions, where does the emissions come from, how does the emissions relate to the normal operation, what is the best way to monitor, measure and reduce emissions, what risks and opportunities would the relevant carbon reduction regulations or carbon market bring to the clients, either regarding a project, a community or a corporate. Actively engaged in relevant international climate friendly actions or alliances such as C40, 100 City Resilience, the Ellen MacArthur Foundation’s Circular Economy 100.
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Arup relevant services
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Arup relevant services