Economy

China can be pre-eminent market for air, water trading

(Xinhua)
Updated: 2010-01-21 19:04

HONG KONG: Having setting up the only carbon exchange in North America, Richard Sandor, chairman and founder of the Chicago Climate Exchange, said here at the Asian Financial Forum Thursday that China could become the pre-eminent market for trading air and water.

"In the 21st century, value creation will be marked by the commoditization of air and water," Sandor said, adding the Chicago Climate Exchange had cooperated with the China National Petroleum Cooperation to start the Tianjin Climate Exchange, whose products range from CO2, water quality, SO2, etc.

Sandor was confident about the future of this new market. "I thoroughly believe that China can become the pre-eminent market for trading emissions and air and water, and substantially improve not only the quality of its life, but the quality of the planet's life," he said.

As for SO2 pollution, the main component of acid rain, Sandor thought it could save billions of dollars a year in health expenditures if dealt with properly.

"You have to look at the whole picture. The important thing for China is to develop its own climate path slowly but move forward," he said.

Founded in 2003, the Chicago Climate Exchange was the world's first voluntary, legally binding greenhouse gas emissions cap and trade system.