Study On Tradable Energy Savings Certificates Scheme

The practice of EU and energy savings during China's "Tenth Five-Year" and in "Eleventh Five-Year" plan show that transforming from government mandatory savings to integrating administration tools and market-based tools is the inevitable course to achieve energy savings benefits overweighting costs. Based on the fact that the energy saving technology and innovation has grown up but the savings are inconspicuous, the innovation of legislation becomes the chance for energy savings. Thus the design and arrangement of tradable energy savings certificates (referring to as ESCs) scheme becomes the focus of innovation of legislation for energy savings.No matter how to define energy savings, the obligation parities for savings are companies and individuals. In accordance with the nature of companies and individuals are economic and rational, energy savings certificates build the trading rules and drive the energy savings market. Also chasing after value and efficiency makes energy savings capitalization and industrialization.The quality and quantity of target is the foundation of its capitalization and industrialization. The investors are the key actor to create and framing market and ESCs are the rules and spaces for trading of energy savings. Thus the savings performance is up to the reasonability of ESCs scheme.The experiences from EU and the lessons from Chinese government's mandatory energy savings provide strong reason to introduce ESCs scheme to China.The balance between demand and supply of institution will make ESCs scheme from theory to practice in China and the progress of legislation will witness this process.