Carbon asset development refers to the development of wind power, hydropower, energy-saving renovation and other projects that conform to the methodology into intangible assets (CCER/carbon inclusion) that can be traded in the carbon market according to the methodology issued by the state/local government, so as to obtain additional benefits for enterprises. From the perspective of income, it brings extra income to the green projects that conform to the methodology of enterprises and increases the income sources of related projects; From the perspective of environmental protection, it can add "carbon" attributes to green projects that meet the methodology of enterprises, and related carbon assets can help enterprises to realize carbon peaking and carbon neutrality; From a policy perspective, it can respond to the national "3060" carbon peaking and carbon neutrality requirements.
Carbon Asset Development Solution
Overview
Features
Diversified business layout: The business layout of fields related to carbon trading was started in 2015, covering the development services, carbon trading services, low-carbon energy conservation and emission reduction technical consulting services, and contract energy management services of CCER/PHCER projects
Rich project experience: Starting from physical new energy projects, we have completed the development and transaction of several carbon assets projects in Guangdong and have rich experience in new energy, energy conservation and emission reduction and carbon assets development
High-quality industry resources: we have deeply cultivated the energy industry for more than 20 years, and have high-quality industry resources. We have established long-term strategic cooperation with major exchanges and institutions, and is a member of Alliance of Carbon Emissions Trading China Energy Conservation Association. We are also members of multiple local exchanges
Qualifications: Team members have long been engaged in energy industry research and project operation, and have various professional certificates in carbon asset development and trading services
Realization
Services
Carbon asset development business: develop clean energy such as PV and wind power into CCER; Develop distributed PV power generation projects and forestry carbon sink projects in Guangdong Province (except Shenzhen) that conform to the carbon inclusion methodology into PHCER.
Carbon trading business: after the issuance of carbon assets, assist enterprises to complete account opening and trading processes, and realize intangible assets through trading in the market.
Definition of CCER/PHCER
CCER is the emission reductions generated by domestic voluntary emission reduction projects, and enterprises under emission control can offset the quota by purchasing CCER generated by renewable energy. CCER is a supplementary mechanism to encourage emission reduction and it encourages enterprises to participate in investment in energy-saving and green projects. Enterprises can develop and apply for related projects, and obtain related carbon assets after examination and approval, certification and issuance. Enterprises can register and trade relevant carbon assets in carbon exchanges all over China, and obtain profits.
PHCER is an effective supplementary mechanism of carbon emission trading market in Guangdong Province (except Shenzhen), which is equivalent to a provincial-level CCER in principle. For application of projects that meet the requirements of inclusion methodology is completed, the Department of Ecology and Environment of Guangdong Province will issue the corresponding carbon assets, and the PHCER of related carbon assets can be traded in Guangzhou Emissions Exchange and Shenzhen Emissions Exchange to obtain profits.
Service scope and characteristics
Scope of services: Involve in the development of centralized PV, wind power and distributed PV, wind power, charging stations and so on.
Centralized power plant (CCER) | Distributed PV (CCER) | Distributed PV (PHCER) | Charging station (CCER) |
A single plant has large size and power generation | The annual power generation of a single plant is small | The annual power generation of a single plant is small | The annual charging capacity of a single station is small |
A single plant can be taken as a CCER project | The plants need to be packaged by province into several CCER projects | The project period is 25 years | The plants need to be packaged by province into several CCER projects |
Multiple plants of the same owner can be packaged into one project | The total annual power generation of the project is over 45GWh (emission reduction is about 30,000 tons) | The total annual charging capacity of the project is over 45GWh (emission reduction is about 30,000 tons) | |
The project period is 21 years | The project period is 21 years | The project period is 10 years |
Solution development type
When applied to wind power, PV, energy-saving transformation and other projects that conform to the methodology, it can be developed into intangible assets that can be traded in the carbon market.
Project development CCER:
At present, there are 16 professional fields of CCER project development in China, as shown in the following table.
Energy industry (renewable/non-renewable) | Metal production |
Energy distribution | Fugitive emissions of fuels (solid fuels, oil and natural gas) |
Energy demand | Fugitive emissions from the production and consumption of carbon halide and sulfur hexafluoride |
Manufacturing industry | Use of solvents |
Chemical industry | Waste disposal |
Construction industry | Afforestation and reforestation |
Transportation industry | Agriculture |
Mining industry | Carbon capture and storage |
Project development PHCER:
Carbon Inclusion Methodology for Installing Distributed PV Power Generation System in Guangdong Province (Revised Edition in 2022)
Forestry Carbon Sink and Carbon Inclusion Methodology in Guangdong Province (Revised Edition in 2022)
Operation process
CYG ET provides integrated services from declaration, issuance to trading
Link | Content | Year of occurrence | Time period (months) |
Project application | Project evaluation | First year | 1-2 |
Project design document (PDD) | |||
Project validation | |||
Review of project application materials | |||
Project filing | |||
Issuance of carbon reductions | Project monitoring report | Every year | 6-10 |
Emission reduction certification | |||
Review of application materials for emission reduction issuance | 2 | ||
Emission reduction issuance | |||
Carbon reduction trading | Members of the exchange open accounts | First year | 1-6 |
Trade carbon assets | Every year |
(Note: there is no project approval steps for PHCER)