Study On Legislative Regulation Of Carbon Finance

Carbon finance is a major achievement of international cooperation on global climate change, and it has important significance for the improvement of human living conditions.It generates and develops according to the "United Nations Framework Convention on climate change" and the "Kyoto Protocol".Carbon is the core unit of carbon finance, which is a kind of investment and financing activity based on carbon unit trade.With the "Paris agreement" achieved in a global climate change conference in Paris in 2015, carbon finance will get to a new level. However, due to its deficient legal mechanism, carbon finance is bothered by lacking of strong protection mechanism, deficient carbon market, lack and the lack of dispute settlement mechanism. The solution of these problems must be based on a relatively complete legal system. WTO as the world’s largest multilateral trade organization, its complete legal system has been favored by many experts and scholars. The question of whether WTO international trade rules apply to the international carbon market and carbon finance has been a source of continuing academic debate. Specifically, carbon finance is the financial service of the Annex on Financial Services contained in the Gnenral Agreement on Trade in Services(GATS), because of carbon unit, which is the core unit of carbon finance, falls within the scope of "Financil assets" in the Annex on Financial Services. In addition, according to the purpose and objectives of WTO and the provisions of GATS, carbon unit should also be "Any Service of a Financial Nature". However, a part of carbon finance seems to be an exeception of serivces under GATS, which blocks the way of WTO applying to carbon finance. As the biggest development country in the world, China has to actively adjust itself,and prepare to dominating the carbon finance market.