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As an important supplementary mechanism to the Emissions Trading Scheme (ETS), the Chinese Certified Emission Reduction (CCER) scheme is scheduled to relaunch by 2023-end. With CCER, the crediting mechanism is to be developed with growing policy scrutiny on the standardized and centralized management of CCER projects. The new measures for CCER projects have determined the unified registry of new mechanisms under the governance of the Ministry of Ecology and Environment (MEE).
According to a notification issued by the Ministry of Ecology and Environment and the State Administration for Market Regulation, the "Management Measures for Voluntary Greenhouse Gas Emission Reduction Trading (Trial)" (referred to as the "Management Measures") officially came into effect on October 19, 2023. This initiative aims to promote the achievement of China's carbon peak and carbon neutrality goals, control and reduce human-induced greenhouse gas emissions, and encourage voluntary greenhouse gas emission reduction actions. It also seeks to regulate and standardize national voluntary greenhouse gas emission reduction trading and related activities.
Updated Application Processes
Compare with Consultation Proposals
Two key differences made in these finalized rules (compared to consultation proposals) besides clearer wordings in some areas:
1) Applications for registering new CCER projects are open for emission reduction projects with a construction date after (June 13, 2012) Nov 08, 2012.
2) The registration authority shall conduct a review of the completeness and compliance of the materials submitted by the project owner. And within (10 working days) 15 working days from the date of receiving the application materials, the registered reduction projects should be officially registered once passed the review.
According to Article 9 of the document, voluntary greenhouse gas emission reduction projects seeking registration should contribute to carbon reduction and carbon sequestration, either by avoiding or reducing greenhouse gas emissions or by achieving greenhouse gas removal. To apply for registration, the projects must meet the following criteria:
They must be genuine, unique, and additional.
They should fall within the scope of project methodologies supported by the Ministry of Ecology and Environment.
Construction must have commenced after November 8, 2012.
They must comply with other conditions specified by the Ministry of Ecology and Environment.
Voluntary greenhouse gas emission reduction projects registered by the registration authority can apply for the registration of project emission reductions. To be eligible, project emission reductions must be measurable, traceable, and verifiable, and they should meet the following conditions:
Conform to the principle of conservatism.
Comply with project methodologies published by the Ministry of Ecology and Environment.
Emissions must occur after September 22, 2020.
Applications must be submitted within the specified timeframe for project emission reduction registration.
Meet other conditions specified by the Ministry of Ecology and Environment.
Project owners have the option to apply for project emission reduction registration in stages. Each stage of registration should encompass emissions generated within five years prior to the registration application date.
Four CCER Methodologies are Now Open for Registration
"Greenhouse Gas Voluntary Emission Reduction Project Methodology Afforestation Carbon Sink (CCER-14-001-V01)"
"Greenhouse Gas Voluntary Reduction Project Methodology Grid-connected Solar Thermal Power Generation (CCER-01-001-V01)"
"Greenhouse Gas Voluntary Reduction Project Methodology Emission Reduction Project Methodology Grid-connected Offshore Wind Power Generation (CCER-01-002-V01)"
"Greenhouse Gas Voluntary Emission Reduction Project Methodology Mangrove Creation (CCER-14-002-V01)".
Any violation of these regulations that disrupts the national voluntary greenhouse gas emission reduction trading market, the Ministry of Ecology and Environment will issue a public reprimand and impose a fine of not less than 10,000 yuan but not more than 100,000 yuan.