Policy Insights - China and the EU reaffirmed their commitment to strengthen cooperation on climate change, emphasizing the importance of the Paris Agreement and the principle of "common but differentiated responsibilities" [4] - The joint statement outlines seven cooperation directions, including the implementation of climate agreement goals, support for the 2025 COP30 conference, and acceleration of renewable energy deployment [4] Local Developments - Three major provinces in China (Zhejiang, Henan, Guangdong) are piloting the issuance of green certificates for distributed renewable energy projects, aiming to establish a framework for nationwide implementation [5] - The pilot program focuses on project registration, measurement management, and data collection, which are crucial for enhancing the green value of renewable energy enterprises [5] Industry Practices - The national carbon market in China has been operational for four years, with a cumulative trading volume exceeding 670 million tons and a transaction value of 46 billion yuan, indicating a healthy and orderly market development [7] - The market is set to expand in 2025 to include high-carbon industries such as steel, cement, and aluminum, which are also affected by the EU's carbon border adjustment mechanism [7][8] - Companies are urged to enhance green electricity applications and conduct comprehensive carbon footprint assessments to improve competitiveness in response to international trade rules [8]

Core Viewpoint - The article discusses the implementation of a pilot program for issuing green certificates for distributed renewable energy projects in three provinces of China, emphasizing the importance of green certificates in promoting green consumption and production methods [1][2]. Group 1: Pilot Program Implementation - The National Energy Administration has issued a work plan for green certificate issuance for distributed renewable energy projects in Zhejiang, Henan, and Guangdong provinces, focusing on a phased approach and practical experience for nationwide rollout [2][3]. - The plan aims to address challenges in measuring and managing distributed energy projects, which are complex due to their diverse stakeholders and decentralized nature [2][4]. Group 2: Importance of Green Certificates - Green certificates serve as the only proof of the environmental attributes of renewable energy in China, playing a crucial role in fostering a green consumption environment and accelerating the transition to sustainable production and lifestyles [1][2]. - The existing green certificate system has achieved full coverage, with policies in place to ensure that all renewable energy projects receive green certificates for their generated electricity [2][3]. Group 3: Challenges and Solutions - The complexity of measuring distributed energy projects poses significant challenges compared to centralized projects, necessitating improved management of measurement devices and data collection [4][5]. - The plan outlines six key tasks, including project registration and enhanced measurement management, to facilitate accurate green certificate issuance [2][4]. Group 4: Market Implications - The issuance of green certificates for distributed projects is expected to provide stable revenue streams for project owners, as their generated electricity will be included in the green certificate trading system [5][6]. - The value of non-tradable green certificates for self-consumed electricity is highlighted, as they still hold significance for companies needing to demonstrate green energy consumption [5][6]. Group 5: Market Development - The success of the green certificate market relies on its activity and completeness, with the potential for increased prices and additional revenue for renewable energy companies if the market is properly developed [7]. - The article emphasizes that the green value of renewable energy must be compensated through green certificates to ensure competitiveness against conventional energy sources [7].