ICAP and GIZ held an advanced training course on ETS design and implementation in the Chinese city of Haikou, 22-26 Oct. 2018

From 22 to 26 October 2018, the International Carbon Action Partnership (ICAP), and Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), together with SinoCarbon, Hainan Development and Reform Commission (DRC) and the Hainan Normal University convened an international advanced ETS training course in the city of Haikou. The course offered 26 Chinese participants from the government from the national, regional and local level as well as from academia, think tanks, business and industry, an opportunity to deepen their understanding of ETS design and implementation and discuss the future development of carbon markets in China and globally. During the weeklong training, many distinguished Chinese and international ETS experts provided input that served as the breeding ground for vivid exchange among participants and experts.

High-level roundtable to kick off the training course

The training opened with a public event at the Hainan Normal University. In their welcoming remarks, Mr. Wu Zhenhua from the Ministry of Ecology and Environment (MEE), Mr. Gao Diangong from the Hainan DRC and Dr. Alex Fisher from GIZ, all reiterated the importance of international cooperation to address the common challenge of climate change and the important role of ETS as an effective instrument to mitigate emissions.

This was followed by keynote speeches and an international high-level roundtable. Framing the discussion, Prof. Duan Maosheng from the Tsinghua University, spoke about the achievements and prospects of the national ETS. Prof. Duan’s contribution was complemented by a European perspective offered by Dr. Dirk Weinreich from the German Environment Ministry (BMU), who shared lessons learned from the implementation of the EU ETS in Germany. For the ensuing roundtable moderated by Ms. Lina Li (ICAP), Prof. Duan and Dr. Weinreich were joined by Mr. Gao Gongdian (Hainan DRC), Mr. Li Boqing (Hainan CGE Peace Development Foundation), Dr. Felix Matthes (Öko-Institut), Ms. Li Jin (Shanghai Environmental and Energy Exchange) and Mr. Cyril Cassisa (International Energy Agency). Reflecting the diversity of their backgrounds, the experts shed light on experiences and opportunities of carbon markets from Hainan to China and the world from multiple perspectives.

Diving into the details

For the remaining duration of the training, experts delved into eleven individual topics related to ETS ranging from cap-setting and the contribution of the ETS to NDC attainment to price drivers and market liquidity, igniting discussions among the participants. Complementing the thematic focused sessions, policy simulation games offered participants the opportunity to apply their knowledge and gain insights into the dynamics of negotiation processes when designing an ETS.

Another element of the training was a site visit. At the Hainan Airline Group, participants gained insights into the main office from which every flight of the Hainan Airline Group can be monitored and discussed the prospects and opportunities of how the international aviation sector could achieve low carbon developments via market based approaches, among others. Participants also visited the Chengmai Low Carbon Industrial Park.

The training concluded with a closing ceremony in which certificates were handed over to the participants and where they also had the chance to give feedback on the training course. This training marks another milestone of the collaboration between ICAP and GIZ as well as the joint activity in China.