Research On Power Sector Carbon Emissions Trading Mechanism Based On Generation Rights Trade

The grim situation of Global warming caused by greenhouse gases and energy crisis emerging in our country’s make the "energy-saving and emission reduction" become hot issues at home and abroad in recent years. The target for total control of international carbon emissions trading market and the vigorously advocate for the low carbon economy in China, to a certain extent, reflect the necessity and importance of controlling carbon dioxide emissions. Carbon emissions trading as a effective way to curb carbon dioxide emissions, already has a mature market mechanism and successful experience in the European Union, the United States and other developed countries. There is no our own carbon emissions trading market in China, China participates in international carbon trading just with the Clean Development Dechanism (CDM) project form. To achieve China’s commitment at the climate conference in Copenhagen that by2020China’s carbon dioxide emissions per unit of GDP will decline40%-45%than that in2005, in ensuring energy-saving and emission reduction based on economic development, it is very necessary to establish carbon market mechanisms in accordance with our national conditions, but at present, China still lacks conditions for establishing national carbon emissions trading market.Electric power industry is a major source of carbon emissions in China. Generation rights trade is an efficient way to achieve energy conservation and emission reduction in power generation sector in the way to market, and this article compares generation rights trade with carbon emissions trading of electric industry, then found that there is a certain correlation between the two. So this article choose the electric power industry for the pilot, start from the generation rights trade, try to research taking certain form of carbon emissions trading into generation rights trade, establish carbon emissions trading profit optimal model based on the generation rights trade. Practical example analysis concluded that, compared with the mere generation rights trade, carbon emissions trading based on generation rights trade can bring profit growth for power manufacturers, as well as more carbon emissions. This shows that such a carbon emissions trading can improve enthusiasm of manufacturers in generation rights trade, so as to achieve the goal of further emission reductions.