A Study On Accounting Problems Of Emission Rights Trading

With the development of the industrial revolution, Environmental pollution and energy consumption brought increasing pressure to the ecological system,Gradually produce a series of environmental crises and rapidly deteriorating. Climate change has grabed Increasing attention by the international community. "Sustainable development" has gained recognition in recent years, a "harmonious society" also requires people to the development of material civilization in pursuit of ecological balance. Low-carbon economy as a new model of economic is gradually coming into view.Low-carbon economy is a new economic model based on low consumption, low pollution and low emission, which is a milestone in human's history after agricultural civilization and industrial revolution. Low-carbon economy requires stabilizing greenhouse gas concentrations in the atmosphere in the prevention of threats to the climate system.Emission rights trading system as an emerging market for emissions control, is conducive to environmental protection and sustainable economic development. A series of studies for emission rights trading has included the accounting treatment of emission rights trading. But, accounting standards around the world on accounting treatment of emission rights trading are seldom. View of this, the paper focuses on emission rights'accounting issues, conducted a detailed analysis and elaboration.This paper mainly used standardized approach to the accounting treatment of emission rights trading. First, the paper introduced the low carbon economy and emission rights trading in the domestic and international background. Second, the paper described the theoretical basis of emission rights trading, including the essence and core of emission rights trading and the economic theory of which. Meanwhile, the paper described the initial allocation mode, operation mechanism, and accounting theory of emission rights.On the basis of the above theoretical groundwork, the paper discussed the accounting treatment of emission rights trading in detail. First, this paper argues that the emission rights assets held for the purpose of sewage are intangible, and held for investment purposes are financial instruments. Second, the paper discusses the company's environmental liability recognized point under the different operating mechanism. Third, the paper discussed measurement of the emission rights and environmental liabilities. This paper argues that, in active trading market, emission rights and environmental liabilities should be measured with fair value. Fourth, the paper discusses the accounting treatment of emission rights trading in China. Finally,the paper discusses the disclosure requirements of information about emission rights. This paper's innovation mainly due to: first of all, this paper Based on the different purpose of keep emission rights and the different condition of market to discuss the accounting treatment of emission rights trading. Secondly, this paper studied accounting problems on our country's emission rights of different style. Thirdly, this paper argued that, the disclosure of emission trade information need both include financial information and non-financial information, especially the environmental protection information in statements of social responsibility.At the same time, there are a lot of flaws and limitations in this paper, needs further study and improvement.