The State Council of China has approved regulations to standardize the country's emissions trading systems. The "Interim Regulations on the Management of Carbon Emissions Trading" is expected to define the national carbon market scale, identify key emission companies, allocate emissions allowances, oversee data quality, and regulate trading operations. This move is considered a final step before relaunching the program, following disclosure of emission reduction methodologies in late 2023. China's carbon market, launched in 2021, is the world's largest, but regional markets face challenges due to the lack of synchronized laws. The approved regulations may integrate regional markets into the national one. Critics emphasize the need for transparency and addressing issues such as inconsistent quality in forestry carbon projects.

Source: Carbonherald