China’s carbon market is developing quickly, and China is on its way to establishing the world’s largest carbon market. For China’s carbon market to be effective, stable carbon prices with a rising forward curve are necessary. An international reserve, which supports a strong and rising carbon price, could be of significant benefit to China, both as a demander of credits in the future, and also as a supplier given the stranded assets currently under the CDM. On March 5th 2014, China Carbon Forum, in cooperation with the Climate Markets & Investment Association, and Association for Sustainable and Responsible Investment in Asia launched the Brookings Institution and Climate Advisers’ innovative Carbon Market Reserves Report in Beijing. The event successfully shared the report’s main messages, lessons learned and heard feedback from China’s climate stakeholders on the future development of domestic and global carbon markets.
For full Executive Summary, please download PDF: Stabilizing Carbon Markets