CARBON EMISSIONS DEVELOPMENT IN CHINA

In 2011, China chose to apply emissions trading as one of the major approaches to decarbonize its electricity sector, recognizing the scale of the challenges of its fast-growing electricity demand and reliance on coal. Piloting emissions trading in selected regions and sectors is the first step in achieving the goal of scaling up to a nation-wide program. China's emissions trading pilot programs are significant in terms of the size of covered emission and provide many valuable lessons. In this article, the authors argue that in long run, electricity market reforms need to be developed in line with the carbon market. They demonstrate that while improvements need to be made to China's emissions trading system, Turkey can still draw important lessons from it.