Daily Management Review

‘Pollution Trading System’ To Put An End To Emissions As Promised By China And The U.S.


China to introduce pollution “trading system” as a commitment to reduce greenhouse gas emission in collaboration with the U.S.

In order to reduce the emissions accelerating global warming, China has plans on introducing “a national pollution-trading system”. Likewise, it will put forth a “substantial financial commitment” which in turn will help the “poorer countries” to stop the usage of fossil fuel.
The said venture will be a joint endeavour as the U.S and China will sketch the broad outlines needed in regard to the production of electricity in a domestic scheme which will cause less pollution. There will also be a “join announcement” for the same.
However, the livemint informs that:
“Details will be released on Friday when US President Barack Obama hosts Chinese President Xi Jinping for a state visit at the White House, the officials said. The two leaders, who were having a private dinner near the White House Thursday night, are scheduled to hold a news conference mid-day. Leaders of the two largest economies are using the announcement as a way to prod talks on a global agreement to stem climate change”.
The current developments are the results of announcements made the previous year when the U.S president, Mr. Obama was greeted by Xi at Beijing. The commitments towards reducing their emission levels were “jointly promised” by the “world’s No. 1 and 2 greenhouse polluters”, China and the U.S respectively.
Moreover, the agreement was a breath of new life in the climate talks arranged by the United Nations. The negotiations that followed in the discussions are the follow-up actions will be a matter of discussion in the Paris summit that will take place in the month of December, wherein “envoys from more than 190 countries are expected to sign a final deal”.
In fact, the livemint writes:
“China’s emissions trading system would expand on seven pilot programmes already running around the country. The national market would open in 2017 and would cover industries including power generation and iron, steel and cement makers, according to the two officials. They briefed reporters on condition of anonymity to discuss the announcement before it’s publicly released”.
The introduction of the above mentioned system will stop the emissions in toto while allowing power station, factories and other pollution sources to “buy and sell pollution credits”. It is expected that this way one would encourage the power of innovation while lowering the “cost of pollution cuts”.
However, the officials denied to give any specific information in regard to the aid provide to other countries by China in reducing carbon footprints as the news will be announced the coming Friday. On the other hand, President Obama has requested a sum of “$3 billion” from the “Green Climate Fund” so as to devote the same in supporting the U.S for reducing its carbon footprints.
“The money has been a key demand of developing nations who say they can’t agree to avoid cheaper but more polluting fossil fuels without financing from richer nations”.
As per the promises made in last December, U.S is to reduce its pollution level by “over a quarter” within a period of next ten years, while China is to “boost its use of renewable energy”.