Chinese government announces program for developing carbon footprint management framework

On June 6, 2024, the Ministry of Ecology and Environment and 13 other central government departments of China announced a program for developing carbon footprint management framework in accordance with the national action plan for getting carbon emissions to peak by 2030.

The program includes main targets, main plans and government support policies for the development of a carbon footprint management framework. The government plans to implement a carbon footprint labeling scheme, with electronic products, home appliances, automobiles, etc. as key target products.

Main targets

Targets for 2027

• Develop a basic framework for carbon footprint management.
• Develop carbon footprint accounting standards for about 100 key products.
• Develop a product carbon footprint factor database.
• Develop a labeling and verification scheme and a grading system for product carbon footprint.

Targets for 2030

• Further develop the framework for carbon footprint management.
• Develop carbon footprint accounting standards for about 200 key products.
• Fully develop the labeling and verification scheme and the grading system for product carbon footprint.

Main plans

Developing product carbon footprint accounting standards

• Develop product carbon footprint accounting standards with the following as key fields/products: power generation, the steel industry, electrolytic aluminum production, hydrogen, lithium-ion batteries, new-energy vehicles, solar panels, electrical and electronic equipment, etc.
• Develop standards by first developing and implementing association standards, and then slowly upgrading them to industry standards or recommended national standards.

Developing a product carbon footprint labeling and verification scheme

• Consider introducing regulations on product carbon footprint labeling and verification.
• Clarify the scope, label format, verification process, etc. of the labeling and verification scheme.

Considering developing a carbon footprint information disclosure scheme

• Encourage companies to disclose product carbon footprint accounting results and reports in the form of environmental and climate-related information disclosure, sustainability information disclosure, etc.

Government support

Incorporating government support and cooperation in policies

• Include product carbon footprint requirements in policies for trade, public finance, finance, industry, etc., while aiming to create synergy among policies to promote carbon footprint management.

Providing more financial support

• Encourage financial institutions to provide financial products and services related to carbon footprint.

Expanding the use of carbon footprint

• Include carbon footprint requirements in the government procurement standards in a timely manner.
• Urge the government and state-owned companies to procure and use low-carbon footprint products.
• Instruct shopping malls and e-commerce platforms to use carbon footprint labels voluntarily.
• Encourage consumers to purchase and use low-carbon products.

The program also includes government support for human resource development, carbon footprint data quality improvement, etc.

Full details of the program (in Chinese) are available at
https://www.mee.gov.cn/xxgk2018/xxgk/xxgk03/202406/t20240604_1074986.html