With China's continued focus on green energy, the issuance and trading of Green Certificates has shown rapid growth. This reflects China's commitment to renewable energy and provides solid support for China's green growth and energy transition.
According to data from the National Energy Administration, China had issued over 120 million Green Certificates by the end of July this year.
In just the first seven months of this year, China issued 53.04 million Green Certificates, 2.6 times the total issued throughout 2022. Furthermore, between January and July, approximately 26.17 million Green Certificates were traded, a staggering 4.8 times the total traded in 2022.
The Green Certificate, also known as the Renewable Energy Green Power Certificate, serves as China's sole official recognition of green power production and consumption. Each certificate represents 1,000 kWh of renewable energy. Recent policy enhancements in the country have ensured that wind power, solar energy, conventional hydropower, and biomass power generation are all comprehensively included in the issuance and trading of these Green Certificates.
The Green Certificate is the only proof of the environmental attributes of China's renewable energy power, which can be commercially transferred between power producers and consumers. This helps increase the use of green power and supports the photovoltaic industry in northern China.
Wang Yichen, Deputy Director of the Marketing Department at the State Grid Suzhou Power Supply Company, noted that inter-provincial green power and certificate trading not only satisfy the demand for green electricity but also play a pivotal role in coordinating national energy resources, thereby actively supporting China's "dual carbon" goals.
In terms of trading regions, Hebei, Jilin, and Jiangsu have emerged as the top three provinces in Green Certificate trading, with each province trading over 3 million certificates, accounting for 40% of the national total. In Jiangsu's major city, Suzhou, since 2022, the city has traded green power amounting to 13.04 billion kWh and 196,700 Green Certificates, making up nearly a fifth of the province's total trading volume.
With China's ongoing emphasis on green energy, the issuance and trading of Green Certificates are expected to maintain their upward trajectory, providing robust support for China's green growth and energy transition.