China’s green electricity trading has experienced remarkable growth in the first half of 2024. The National Energy Administration issued 486 million green certificates, a significant increase from last year.
Expansion of Green Certificates
The implementation of new green energy policies has improved the green certificate system, expanding its applications. In the first six months of 2024, the administration issued 197 million certificates for wind power, 102 million for conventional hydropower, and 133 million for solar power. This expansion demonstrates China’s commitment to the green energy market and the adoption of renewable energy sources.
China’s green electricity certificate system, launched as a pilot program in 2017, allows businesses and individuals to voluntarily purchase renewable energy. Since its inception, approximately 707 million green certificates have been issued. Each certificate represents 1 megawatt-hour of renewable electricity consumption and can be traded on the open market, boosting the solar energy market and other renewable sectors.
Supporting Green Energy Transformation
The National Energy Administration plans to intensify efforts to guide large state-owned enterprises, multinational companies, and export-oriented enterprises. This initiative aims to achieve green power consumption through the purchase and use of green certificates. This support is crucial for the green and low-carbon transformation of the social economy and the realization of China’s dual carbon goals.
The National Development and Reform Commission states that all renewable energy projects are eligible to generate green electricity certificates. Companies can buy these certificates to certify their electricity consumption from renewable energy sources. This policy further encourages the development of the domestic renewable energy market.
Additional Revenue Stream for Renewable Projects
Income from selling green electricity certificates benefits power generation companies or renewable project owners. It provides an additional revenue stream alongside sales of renewable electricity. This financial incentive supports further investments in solar energy, energy storage, and other renewable technologies, aligning with current energy market trends and fostering sustainable growth.
Source：chinadaily.com.cn
