selectshandong@shandong.cn
中 日 한 EN DE FR
SELECTSHANDONG

Weifang Launches Shandong’s First Carbon Option Business

Source： 12-26-2022 10:19:00

It is learned from Weifang Financial Holding Group that its holding companies of environment, cloud payment, and big data signed a business cooperation agreement with Weifang Jingzhao New Energy Technology Co., Ltd. The four companies will jointly develop the Zhucheng 100 MW PV carbon asset project and lock in the new emission increase or decrease of the project and its dynamic pricing by means of options, which marks the first carbon option business in Shandong Province officially implemented in Weifang.

Carbon option trading refers to the right of the trading parties to buy or sell a certain amount of carbon target at a specific price at a specific time in the future. The direction of a carbon option trading depends on the purchaser's judgment of the price trend of carbon emission quotas. Like carbon futures, carbon options can help the buyer to hedge the adverse risk caused by the fluctuation of the carbon price and have a certain hedging function.

Weifang Financial Holding Group, the first municipal state-owned enterprise in China to carry out carbon market business, has deepened its strategic cooperation with China Emissions Exchange, Shanghai Environment and Energy Exchange and other institutions, expanded its low-carbon full-chain business integrating carbon trading, carbon inventory, carbon consulting, carbon asset development and management, carbon finance, green fund, green bond and green lease, and fully participated in the construction of regional carbon market. It has launched the first industry chain carbon finance business and the first carbon option business in Shandong Province, and the first national carbon trading business in Weifang, becoming the first full-chain green financial service provider in Shandong Province.