Buyers default on carbon credits
BEIJING - European companies have thrown a large number of Chinese emissions reduction projects into doubt by refusing to pay the pre-agreed price following a market plunge, industry insiders said.
About half of the Chinese Carbon Development Mechanism (CDM) projects are being renegotiated or terminated, according to estimates. No official figures are available.
China is the world's biggest carbon credit supplier. EU companies agreed to buy most of the credits to help them meet caps under the EU emissions trading scheme.
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