Summary of International Carbon Trading and Carbon Finance Sub-Forum
On December 18, 2022, during the Ninth International Clean Energy Forum Conference and Zero Carbon Island Forum, the State Power Investment Corporation Carbon Assets Management Co., Ltd. (hereinafter referred to as "SPIC Carbon Assets") Management Company") and the sub-forum on international carbon trading and carbon finance hosted by Jinnuo Carbon Investment Environmental Protection Technology (Beijing) Co., Ltd. and supported by the Financial Development Bureau of Hengqin Guangdong-Macao Deep Cooperation Zone was successfully held. This sub-forum was presided over by Ma Ninghui from the Planning and Consulting Department of SPIC Carbon Asset Management Company. It included four parts: guest speeches, results releases, keynote speeches and roundtable forums. It gathered 20 industry heavyweights from the political, academic and industry circles in the form of live webcast. Guests, focusing on the current hot topics of "carbon trading and carbon finance", discussing research practices and insights in their respective fields, and contributing knowledge to the realization of high-quality development of the carbon market.
The sub-forum specially invited Bai Lichao, chairman of SPIC Carbon Asset Management Company, and Luo Xiaoling, deputy director of Boston Consulting Group, to deliver speeches.
In his speech, Bai Lichao pointed out that SPIC is actively creating a new pattern of green development. SPIC Carbon Asset Management Company, as SPIC’s carbon asset management and low-carbon service platform, earnestly implements the group’s peak path and takes multiple measures to promote carbon asset management. and low-carbon services. In terms of participating in the construction of Hong Kong International Carbon Trading Center, successfully registering the country's first carbon emission right green asset-backed bond, landing the first domestic green power certificate income right pledge loan, and the construction of carbon inclusive incentive mechanism, etc. Many good practices have been carried out in carbon market construction and social green and low-carbon transformation. In the future, carbon asset management companies will continue to make continuous efforts to build a first-class carbon asset management company and play a greater role in international carbon trading and carbon finance.
Luo Xiaoling explained the development trend of carbon market and carbon finance in his speech. He believes that the carbon market mechanism can only develop and will not retreat. The inclusion of the power industry is only the first step, and it will gradually cover more and more industries. The carbonization process continues to develop, and decarbonization will become an important measure for companies to respond to the development of the carbon market; carbon prices will show a long-term upward trend, and carbon costs will become the core competitiveness of corporate carbon management. Advantage.
The launch ceremony of carbon financial products lights up the scene
At the release ceremony of carbon financial products, Liu Jingshan, director, general manager and deputy secretary of the party committee of SPIC Jiangxi Electric Power Co., Ltd. released the results of SPIC's carbon emission rights green asset-backed bonds. SPIC Carbon Assets Management Co., Ltd. acts as the bond agent, and Jiangxi Company acts as the bond issuer. It is the first "carbon emission rights green asset-backed bond" successfully registered by SPIC in the China Interbank Market Dealers Association. Promote the specific practice of low-carbon transformation and clean utilization of thermal power.
The keynote speeches gathered by big names ignited the forum
The keynote speech invited six heavyweight experts in the industry to deliver speeches on topics of high concern and high gold content related to international carbon trading and carbon finance, injecting strong impetus into the forum and providing scientific basis for exploring the development of international carbon trading and carbon finance. Support to provide effective support for promoting economic and social green and low-carbon transformation.
Xiao Yonghui, deputy general manager of SPIC Carbon Asset Management Company, gave a speech on the theme of "International Carbon Trading and Carbon Finance Practice and Prospects under the Background of Dual Carbons". Good practice in finance etc. In the future, the company will pay close attention to the policy trends of the EU carbon market and the carbon border adjustment mechanism, and continue to actively participate in the creation of Hong Kong's international carbon market with the backing of the mainland facing the world; , realize the two core functions of "risk avoidance" and "price discovery"; introduce a carbon measurement mechanism to help financial institutions quickly identify green and carbon-reducing projects, and support the rapid development of green and low-carbon projects.
Yang Chao, chairman of the China Green Carbon Foundation, delivered a speech on the theme of "Actively Advocating Nature-Based Solutions and Promoting the Construction of a Clean and Beautiful World". He pointed out that the key to carbon peaking is to promote the production of clean energy and the efficient use of fossil energy. The key to carbon neutrality is to remove carbon dioxide and other greenhouse gases from the atmosphere through technologies such as ecosystem enhancement, carbon capture, carbon sequestration, and carbon removal. In order to achieve the goal of carbon neutrality, the energy industry can incorporate forestry and grassland carbon sinks into the overall strategy as a necessary means to achieve carbon neutrality, and support the synergy of forestry and grassland and other ecological industries while achieving carbon neutrality in the future industry.
Huang Dafei, Executive General Manager of the Fixed Income Department of China International Capital Corporation Limited, gave a speech titled "Carbon Finance Helps Dual Carbon Goals" and said that the international carbon credit market for voluntary emission reductions is accelerating the process of financialization, while my country's carbon market as a whole is in its infancy stage. Leveraging more social resources to support the carbon trading system needs to further improve my country's carbon financial market by promulgating regulations to promote the transformation of carbon emissions trading management, restarting CCER, expanding the carbon market, and developing carbon financial products.
Cui Yu, director and general manager of Hainan International Carbon Emissions Exchange, took the theme of "The Latest Progress and Related Thoughts of International Carbon Pricing Initiatives". Second, an effective carbon pricing mechanism should have benign allocation and redistribution mechanisms; and third, the stability and predictability of carbon prices are critical to incentivize innovation and long-term investment.
Yang Xiaoshan, Chief Strategy Officer of Jinnuo Carbon Investment Environmental Protection Technology (Beijing) Co., Ltd., gave a speech on the theme of "Scientific Net Zero Targets for Financial Institutions". Carry out "carbon neutrality". One is to use the permanently removed carbon to neutralize the unfinished emission reductions in the value chain through the net zero target set by the invested companies, and the other is to provide funds for carbon removal solutions, and actively fund carbon removal activities to Neutralize remaining emissions at asset class or industry level.
Li Xuran, head of the Double Carbon Innovation Center of China Galaxy International Holdings, gave the title "Cross-border Carbon Finance Helps China's "Double Carbon" Sustainable Development", pointing out that the financial industry has an obligation to guide the flow of social funds to green and low-carbon goals. He introduced Galaxy's innovative carbon finance model: first, the launch of the world's first low-carbon ETF covering the Asia-Pacific region realized the cross-border interconnection of low-carbon assets and funds; Domestic customers provide a channel for in-depth understanding of the EU carbon market mechanism and hedging carbon tariffs; the third is the cross-border transaction of the country's first ecological poverty alleviation carbon sink product "one-yuan carbon sink", which helps overseas companies achieve carbon neutrality and ESG goals.
Exciting round table discussion passionate collision
In the roundtable forum, the big names shared the fresh cases and practical experience of international carbon trading and carbon finance, focusing on international carbon trading, carbon financial innovation opportunities, and how the integration and synergy of carbon trading and traditional financial industries can effectively support the high growth of the national carbon market. Quality development, boosting the low-carbon transformation of enterprises, and contributing to the goal of carbon neutrality with high efficiency and low cost collide with sparks of thought.
Roundtable Forum 1 was presided over by Liu Xiao, head of the carbon asset management department of SPIC Carbon Asset Management Company. Focusing on the topic of "opportunities and challenges in carbon finance", Huaneng Carbon Asset Management Co., Ltd., Guotai Junan Securities Co., Ltd., Guangzhou Futures Exchange As different participants in the carbon market, experts from the Institute, the International Research Institute of Green Finance of the Central University of Finance and Economics, Vitol (China) Energy Co., Ltd., and Huatai Securities Co., Ltd. are involved in various aspects of the carbon market, from green finance, climate investment and financing, carbon finance, carbon trading, etc. Sharing work practices and expressing unique insights in multiple fields.
The experts exchanged views from the following aspects. First, the positioning of the carbon market determines its function. The financial and international development of the carbon market is aimed at improving the function of carbon pricing and promoting green investment in the whole society. Second, Carbon finance has played an important role in supporting the sound development of the carbon market and can help it improve the carbon pricing mechanism; third, with the continuous improvement of carbon financial tools, it will attract more market participants, increase market activity, and provide effective services for enterprises. Controlling risk provides price signals.
Experts agreed that the domestic carbon finance market is still in the early stages of development, and it is necessary to further promote the effective connection of carbon policies to ensure the realization of medium and long-term plans for carbon finance; enrich the types of participants and trading tools in the carbon market, and enhance the activity of the carbon market; enterprises still need to Strengthen its own capacity building, improve the ability to identify carbon financial risks, and actively participate in the innovation of carbon financial products.
Roundtable Forum 2 was presided over by Wang Shu, Executive Director of Ai Sifu International Consulting (Beijing) Co., Ltd., focusing on the topic of "carbon trading promotes the integration and coordinated development of traditional finance and industry". Six experts from Beijing Green Exchange, China Petroleum International Co., Ltd., China Three Gorges New Energy (Group) Co., Ltd., and Macquarie Group have different perspectives on energy Internet, green and low-carbon transformation of high-emission industries, and successful practices of international groups in green finance. Industry perspective, sharing experience and enlightenment in the carbon field.
Experts discuss from the following aspects. One is to vigorously adjust the energy structure and carry out clean energy substitution; the other is to actively develop new industries and new formats such as clean energy hydrogen production, green fuel, and transportation; Improve commercial value; Fourth, actively carry out informatization construction and establish a scientific, reasonable and internationally recognized carbon emission data information system.
"Carbon" explores the future, and experts suggest that we can actively deal with it from the following aspects. One is to vigorously develop green finance, develop green financial products such as carbon neutral bonds and clean energy funds, and provide sufficient financial guarantees for enterprises; Reserve environmental rights and interests indicators to prepare for policy opportunities in advance; the third is to expand international development and actively participate in international mandatory and voluntary carbon market transactions.
Carbon trading and carbon finance are the core components of the carbon market mechanism. Under the goal of "dual carbon", my country's carbon trading market construction and carbon financial innovation exploration have entered the "fast lane". The success of the forum will play a positive role in promoting the development of the carbon market, integrating industrial resources, promoting the participation of the whole society in energy conservation and carbon reduction, and the transformation of green and low-carbon development.