Low carbon emissions

China aims to peak carbon dioxide emissions by 2030 and achieve carbon neutrality by 2060. As one of the core policies tools to implement this vision of hot rolled steel pipe, the construction of a national carbon market has been in full swing this year. On January 1 this year, the first implementation cycle of the national carbon market was officially launched. It involves 2,225 key emitters in the power generation sector. Later, the Ministry of Ecology and Environment issued a series of documents to further standardize the registration, trading and settlement of carbon emission rights across the country, laying a good institutional guarantee for the upcoming national carbon market.

The operation of the national carbon market is expected to significantly reduce the total emission reduction cost of the whole society, help our country to realize a relatively low emission peak early, which will also reduce the difficulty of the subsequent realization of carbon neutrality goals. The chairman of Hubei Carbon Trading Center introduced that Hubei carbon market was founded in 2014. Practice has proved that carbon market is one of the effective policy tools for the government to promote the transformation and upgrading of steel pipe supplier and control greenhouse gas emissions. In the pilot process of carbon emission trading, a total of 21 Sinopec units have been included in the carbon emission trading pilot in Beijing, Shanghai, Tianjin, Guangdong, Hubei and Chongqing. By the end of 2020, the cumulative carbon trading volume of the pilot enterprises was 17.52 million tons and 440-million-yuan, accounting for about 4 percent of the national market trading volume and trading volume, respectively.

China petrochemical energy management and environmental protection, by participating in a pilot carbon trade work, especially with the further increase of carbon trading performance cost, enterprises pay more attention and emphasis on carbon management work, for example, in the newly built or renovated project, will be willing to consider the impact of carbon emissions, promoted the carbon management within the Chinese steel pipe company more interaction and collaboration among departments. It promotes the implementation of corporate carbon emission management and carbon emission reduction responsibility.

After the operation of the national carbon market, key emitters included in the national carbon market will directly feel the role of the national carbon market to “encourage the advanced and spur the backward”. Enterprises not included in the national carbon market will also take the carbon price signal issued by the national carbon market into account when making investment decisions, which is very important to promote low-carbon investment and avoid the lock-in effect of high-carbon investment. The price signal of the rectangular hollow section is especially timely and important in the context of economic recovery after the pandemic. It is critical to ensure that our country follows the path of green recovery rather than high-carbon investment driven economic growth.