Market boom

After the Kyoto Protocol came into force in 2005, global carbon trading has grown exponentially.

According to statistics from the International Emissions Trading Association (IETA), the market value of world's carbon trading reached US$126.35 billion in 2008, up 100.6 percent from 2007.

There are now more than 20 platforms for trading carbon in the world, with two main trade targets, namely, carbon emissions quota and related financial derivatives, and emission mitigation projects.

Major carbon trading markets in the world include EU Greenhouse Gas Emission Trading System (EU-ETS), UK Emissions Trading Group(ETG), Chicago Climate Exchange (CCX), and the New South Wales Greenhouse Gas Reduction Scheme.

The EU-ETS, which commenced operation in January 2005, is the largest greenhouse gas emissions trading scheme in the world. It implements a mandatory "cap and trade" system in 27 EU member countries.

Some 2.8 billion tons of carbon dioxide were traded in the EU-ETS in 2008, accounting for nearly 60 percent of the world's total, compared to 94 million tons in 2005.

The CCX, created in 2003, is the world's first voluntary carbon credit market, whose market size reached US$100 million in 2008.