The industry's first order, Shougang Qiangang transferred 1.487 million tons of carbon emission rights for 143 million yuan
Shougang Co., Ltd. recently issued an announcement stating that in order to implement the "Shougang Co., Ltd. Low-Carbon Action Plan" and promote the company's carbon emission management work, combined with the current trend of carbon emission rights market transaction prices, after research at the company's manager's office meeting, Qiangang Company and multiple transferees signed the "Carbon Emissions Trading Agreement Transfer Contract" and transferred China Certified Voluntary Emission Reduction Emissions (hereinafter referred to as "CCER") through the Shanghai Environment and Energy Exchange. As of the disclosure date of this announcement, Qiangang Company has signed relevant transfer contracts with each transferee. The transfer of CCER by Qiangang Company is expected to affect the company's profits by approximately 100 million yuan to 120 million yuan (the specific data shall be subject to the final audit data).
The announcement stated that the CCPP power generation project of Qiangang Company was officially launched in 2013 and was successfully registered by the National Development and Reform Commission in 2015. According to the "Carbon Emissions Trading Agreement Transfer Contract" signed by Qiangang Company and each transferee, Qiangang Company determined the transferee through bidding. A total of 1,487,169 million tons of CCER were transferred, with an average transfer price of 96.00 yuan/ton (tax included), and the transfer price was 142.77 million yuan. After the completion of this transfer, it is expected to affect the company's profits by approximately 100 million to 120 million yuan.
The announcement also stated that in accordance with the policy of the Ministry of Ecology and Environment on the payment of inventory CCER offset carbon emission quotas, the company plans to complete the transfer of inventory CCER as soon as possible. It is understood that CCER has recently launched the online connection of the first batch of projects, achieving a real restart since the suspension in 2017. Shougang Qiangang's transfer transaction is also the first transfer-out transaction in the steel industry after the restart.
CCER refers to the greenhouse gas emission reductions that are quantified and verified on the greenhouse gas emission reduction effects of renewable energy, forestry carbon sinks, methane utilization and other projects in my country and registered in the national greenhouse gas voluntary emission reduction trading registration system.
There are two types of basic products in the carbon emissions trading market: one is the emission reductions (i.e. quotas) initially allocated by policymakers to enterprises; the other is CCER, which is emission reduction certificates obtained through the implementation of projects to reduce greenhouse gases. It can be used to offset part of the carbon emissions when emission control enterprises perform their duties. It can not only appropriately reduce the company's performance costs, but also bring certain benefits to emission reduction projects.
In order to encourage enterprises in various industries to actively reduce emissions, there is an upper limit on the use of CCER to offset emissions. According to the "Carbon Emissions Trading Management Measures (Trial)" issued by the Ministry of Ecology and Environment in 2021, the proportion of CCER used for offset shall not exceed the amount that should be paid. 5% of the carbon emission quota. As of 10:00 on September 3, 2024, a total of 31 voluntary emission reduction projects have entered the publicity stage, covering all four categories of projects released in the first batch of methodological releases.
The following is the full text of the announcement
