CIG has learned of plans by South Korea to launch a pilot carbon emissions trading scheme from January after the Environment Ministry had received applications from 641 public and private organizations, including 14 local governments, 446 public organizations and 166 retailers.
A ministry official, speaking on behalf of the ministry has said that trading mostly among local municipalities and retail stores will be done online next year and from 2011 at the Korea Exchange, (KRX), the countries national bourse, which is currently preparing for the derivatives transactions according to an earlier statement.
At this stage, CIG understands, no price for emissions per tonne has yet been set by the ministry.
The ministry is believed to have recently said that the 3 year pilot scheme will provide the base for the nation’s voluntary emissions reduction target. The Asian country has promised to cut greenhouse gas emissions by 30% from its predicted under a “business as usual” scenario.
"The scheme is designed to meet the country's mid-term emission reduction target and connect with international carbon markets," CIG believes the statement as saying.
As one of the globes fastest growing polluters, South Korea said in August that it hoped to become the Asian trading hub for carbon emission certificates and related products under its hopes for a new carbon exchange from 2011, and attempting to beat off similar plans by Australia, Singapore and Hong Kong.
