GCL-Poly reacts to Beijing ETS

Share

With the city authorities in Beijing rolling out a carbon emissions trading scheme (ETS) on Thursday and plans reportedly in place for the world’s second largest ETS in Guangdong province, polysilicon giant GCL-Poly has yet to assess the impact the scheme will have on its operations.

China has announced a greenhouse gas (GHG) reduction target of cutting back emissions per unit of GDP to between 40 and 45% of its 2005 levels, by 2020, and emissions trading schemes have already been introduced in Shenzhen and Shanghai, according to a report in English newspaper the Guardian.

Lu Yeung, from the investor relations depsratment of poly maker and solar plant developer GCL-Poly told pv magazine the company is still assessing the details of the schemes being introduced but that, broadly speaking, emissions trading would be good news for the solar industry.

"The pay back period, in terms of emissions, for solar panels which use our polysilicon will be much better than any amounts we will have to pay for carbon permits relating to our production processes," said Lu.

"We are not heavily affected as yet because most of our production takes place in Jiangsu province but we are investing across China in solar projects and are still assessing internally how the schemes will affect us."

Quoting a Reuters report, the Guardian story stated the initial trades on the Beijing exchange on Thursday took place with each permit – relating to a tonne of CO2 – selling for around CNY50 (US$8.20), compared to Wednesday’s closing price of CNY80 in Shenzhen and CNY28 in Shanghai.