MeasuresfortheAdministrationofVoluntaryGreenhouseGasEmissionReductionTrading(Trial) 2023.10.19 ThetranslationfromChinesetoEnglishissupportedbyEnvironmentalDefenseFund(EDF) MeasuresfortheAdministrationofVoluntaryGreenhouseGasEmissionReductionTrading(Trial) ChapterIGeneralProvisions Article1:TheseMeasuresareformulatedwiththeaimsofachievingChina’sendeavorstopeakcarbondioxideemissionsandachievecarbonneutrality,controllingandreducinggreenhousegas(GHG)emissionsresultingfromhumanactivities,encouragingvoluntaryGHGemissionreductions,andstandardizingnationalvoluntaryGHGemissionreductiontradinganditsrelatedactivities.TheseMeasuresareformulatedinaccordancewiththedirectivesofthePartyCentralCommitteeandtheStateCouncilregardingestablishinganationalvoluntaryGHGemissionreductiontradingmarket,andrelevantlawsandregulations. Article2:TheseMeasuresapplytotheactivitiesrelatedtonationalvoluntaryGHGemissionreductiontradinganditssupervisionandmanagement. Article3:NationalvoluntaryGHGemissionreductiontradingismarket-oriented,anditsrelatedactivitiesadheretotheprinciplesofequity,justice,openness,integrity,andvoluntariness. Article4:JuridicalpersonsandotherlegallyestablishedorganizationswithintheterritoryofthePeople'sRepublicofChinaarepermittedtoengageinvoluntaryGHGemissionreduction-related activitiesinaccordancewiththeseMeasuresandareallowedtoapplytheregistrationofvoluntaryGHGemissionreductionprojectsandemissionreductions. Juridicalpersons,otherlegallyestablishedorganizations,andnaturalpersonswhoadheretoappliableregulationsareeligibletoengageinvoluntaryGHGemissionreductiontradingincompliancewiththeprovisionssetforthintheseMeasures. Article5:TheMinistryofEcologyandEnvironmentistaskedwithestablishinganationalvoluntaryGHGemissionreductiontradingmarket,andformulatingadministrationrequirementsandtechnicalspecificationsfornationalvoluntaryGHGemissionreductiontrading.TheMinistryofEcologyandEnvironmentholdstheresponsibilityofsupervising,managing,andprovidingguidanceforactivitiesrelatedtonationalvoluntaryGHGemissionreductiontrading. Provincial-levelecologicalandenvironmentalauthoritiesareresponsibleforsupervisingandmanagingvoluntaryGHGemissionreductiontradingandrelatedactivitieswithintheirrespectiveadministrativeregions. Municipal-levelecologicalandenvironmentalauthoritiesatthedistrictlevelshallcooperatewiththeprovincial-levelecologicalandenvironmentalauthoritiesinsupervisingandmanagingvoluntaryGHGemissionreductiontradingandrelatedactivitieswithintheiradministrativeregions. Themarketsupervisionadministrationauthorityandtheecologicalandenvironmentalauthoritiesshall,accordingtotheir respectiveresponsibilities,superviseandmanagethebodiesengagedintheapprovalofGHGemissionreductionprojectsandtheverificationofemissionreductions(hereinafterreferredtoas“validationandverificationbodies”)andthebodiesvalidationandverificationactivities. Article6:TheMinistryofEcologyandEnvironmentestablishesastandardizednationalvoluntaryGHGemissionreductionregistrationinstitution(hereinafterreferredtoas“registrationinstitution”)andanationalvoluntaryGHGemissionreductionregistrationsystem(hereinafterreferredtoas“registrationsystem”). Theregistrationinstitutionisresponsibleforoperatingandmanagingtheregistrationsystem,handlingtheapplicationoftheregistrationandcancelationofemissionreductionprojectsandemissionreductionprojectsthroughthesystem.TheregistrationinstitutionalsorecordsinformationrelatedtovoluntaryGHGemissionreductionprojectsandverifiedvoluntaryemissionsreductionregistration,holdings,changes,andcancellations.Theinformationrecordedintheregistrationsystemservesasthefinalbasisfordeterminingtheattributionandstatusofverifiedvoluntaryemissionreductions. Inaccordancewithrelevantnationalregulations,theregistrationinstitutionmayformulatespecificoperationalrulesfortheregistrationofvoluntaryGHGemissionreductionprojectsandemissionreductionsandreportthemtotheMinistryofEcologyandEnvironmentfordocumentation. Article7:TheMinistryofEcologyandEnvironmentestablishesastandardizednationalvoluntaryGHGemissionreductiontradinginstitution(hereinafterreferredtoas“tradinginstitution”)andanationalvoluntaryGHGemissionreductiontradingsystem(hereinafterreferredtoas“tradingsystem”). Thetradinginstitutionisresponsibleforoperatingandmanagingthetradingsystem,providingcentralizedandunifiedtradingandsettlementservicesforverifiedvoluntaryemissionreductions. Thetradinginstitutionshall,inaccordancewithrelevantnationalregulations,implementeffectivemeasurestomaintainthehealthydevelopmentofthemarket,preventexcessivespeculation,andguardagainstfinancialrisks. Thetradinginstitutionmay,inaccordancewithrelevantnationalregulations,establishspecificoperationalrulesforthetradingofverifiedvoluntaryemissionreductionsandreportthemtotheMinistryofEcologyandEnvironmentfordocumentation. Article8:TheMinistryofEcologyandEnvironmentisresponsibleforformulatingandreleasingmethodologiesforvoluntaryGHGemissionreductionprojects(hereinafterreferredtoas“projectmethodologies”)alongwithothertechnicalspecifications.Theseserveasthebasisfo