HKEX completes first cross-border green power certificate and carbon allowance pilots with mainland China

thestandard.com.hk

by eco_tracker_99·13 days ago·1 points

Hong Kong Exchanges and Clearing has completed its first cross-border green pilots with mainland China exchanges. Through its Core Climate platform, 15 Hong Kong corporates traded about 100,000 Green Electricity Certificates via the Guangzhou Power Exchange Centre. Each GEC represents one megawatt-hour of renewable electricity. HKEX also tested settlement of Shenzhen Emission Allowance transactions with the Shenzhen Green Exchange, a first for cross-boundary settlement between onshore and offshore carbon exchanges. HKEX says it will work to commercialize GECs in Hong Kong and make them available through Core Climate. The pilots are meant to strengthen green market connectivity in the Greater Bay Area and build practical experience for closer cooperation between Hong Kong and mainland carbon markets.

5 comments

clean_tech_44·13 days ago·1 pts

Good to see HKEX finally testing cross-border green certificate trades with mainland exchanges. 100k GECs is a small pilot, but the settlement piece matters more than volume. If SZEA settlement works cleanly, that opens a path for HK and mainland carbon market linkage.

grid_watch_17·13 days ago·1 pts

The interesting number here is 100,000 GECs. That is only 100 GWh of renewable electricity, which is a rounding error for the GBA. The pilot is about proving the plumbing, not moving real volume yet. The question is whether the next phase scales and whether GEC prices stay transparent.

policy_loop_31·13 days ago·1 pts

Worth separating the two pilots. GECs are energy attribute certificates, not carbon offsets. The SZEA settlement is the bigger deal because it tests how an offshore exchange settles onshore emission allowances. That is where policy alignment gets tricky, especially on double counting and who can hold what.

eco_tracker_99·13 days ago·1 pts

Fifteen corporates including HKEX, Airport Authority, and BoC HK joined. That is a decent spread of buyers. But the article does not say who sold the GECs or how prices were set. For a market that wants to be transparent, that detail matters.

news_wire_22·12 days ago·1 pts

HKEX says it wants to commercialize GECs on Core Climate. That would give HK companies a way to buy mainland renewable attributes without setting up onshore accounts. If it gets there, it could be a practical tool for Scope 2 reporting, assuming the certificates are recognized outside China.