An authoritative and legally binding platform for greenhouse gas emission
registration, emission reduction and resource integration
For more than a century, the climate of the mother earth on which we humans
depend has been continuously warming. Although all countries in the world are
taking various actions to curb climate warming, at the current rate of emission
reduction, the temperature of the earth at the end of this century will still be higher
than that at the beginning of the industrial revolution. Possibly at least 3 degrees
Celsius higher. This change will be catastrophic, and it is also an unprecedented
severe test that we are about to face.
In order to save energy and reduce emissions more effectively, we will
contribute our own strength to save the mother earth, save the whole society and all
mankind. In response to the call of the United Nations, we established the first global
green energy sharing center - Oasis Power Energy (Global) Trading Center (OPETC for
short) in London, England. In order to make it easier for companies and individuals
around the world to interconnect and share green resources.
Since 1972, with the United Nations as the organizer, all countries, institutions,
groups, scientists of cross-regional alliances and people of all nationalities in the
world have begun to take up "scientific weapons" to fight against it.
For half a century, the United Nations has issued a plan to curb global warming
with the "United Nations Framework Convention on Climate Change" as the main
body. During this process, all countries and trans-regional institutions on the planet
have also introduced relevant laws and policies. A variety of scientific methods and
new technologies have been researched to cooperate with the United Nations'
"United Nations Framework Convention on Climate Change", the "Kyoto Protocol",
"Paris Agreement", etc. It is used to achieve energy saving and emission reduction,
and strive to achieve the goal of "carbon peak" and "carbon neutrality" as soon as
possible.
Among them, there is a plan with a high degree of consensus, which is to
establish regional, national, transnational and regional carbon emission rights
resource sharing centers. Establish a carbon emissions trading system and mechanism,
set mandatory total carbon emissions control targets, and allow global sharing and
trading of carbon emissions quotas.
This move. Compared with emission reduction methods such as administrative
orders and economic replenishment, it is a feat across the century. It is low in
environmental protection costs, easy to operate, and is the biggest policy tool for
emission reduction effects. It has far-reaching significance.
Therefore, developed countries in Europe and the United States established a
regional carbon emission rights exchange in 2003. For example, the Chicago Climate
Exchange (CCX) and the European Climate Exchange (ECX). Until 2005, the world's
first cross-regional exchange was established - the European Energy Exchange (EEX).
The exchanges in these developed countries, including the Korean exchange (KVX) in
Asia and exchanges in China, Singapore and other regions, have been operating for a
period of time, and the overall operation is stable and the development momentum
is good.
In Madrid in 2019, parties to the United Nations Framework Convention on
Climate Change gathered for the 25th annual United Nations Climate Change
Conference. In the meeting, it was pointed out that there is no cross-regional and
cross-country resource integration and trading platform in regions other than theEuropean Union. This has led to the failure of the cross-regional and national
interconnection, interaction and mutual sharing mechanism to start and function well,
thus affecting the global process of energy conservation and emission reduction to a
certain extent. The achievement of the goal of "carbon peak, carbon neutrality" has
been delayed. Negotiate and decide to establish a global carbon emission rights
resource integration and trading center at the meeting. Signed an agreement to name
the institution "Oasis Power Energy (Global) Trading Center".
5 June 2021, in a joint statement of the United Nations Environment Program
(UNEP) and the World Meteorological Organization (WMO) and the
Intergovernmental Panel on Climate Change (IPCC). Officially authorized the
establishment of Oasis Power Energy (Global) Trading Center, with its headquarters in
London, England. The statement stated that Oasis Power Energy (Global) Trading
Center is a global non-profit public welfare organization. Policy supervision will be
carried out by the Intergovernmental Panel on Climate Change of the United Nations,
and market supervision will be carried out jointly by the US Long-term Service and
Support (LTSS) Trust Committee and the UK Prudential Regulation Authority (PRA).
Oasis Power Energy (Global) Trading Center, referred to as OPETC, is a
non-profit global public welfare organization. This institution not only
provides carbon emission rights integration and sharing services for
companies from various countries, but also has individual user portals.
Individuals can also register in the institution center and handle globalcarbon quota spot transactions, option contracts, institutional custody and
other related businesses.
After the establishment of OPETC, it quickly received strong support from the
World Bank, the European Bank for Reconstruction and Development, the
Inter-American Development Bank, the Asian Development Bank and the African
Development Bank, and combined them into cooperative institutions. Together with
OPETC, it will provide a "package" of comprehensive carbon emission services to
institutions, enterprises and individuals in member states of the United Nations. In
just over a year, the Oasis Power Energy (Global) Trading Center has carried out nearly3 million carbon quota resource integrations and hundreds of public welfare and
environmental protection activities. OPETC currently has more than 18,000
employees from different countries and regions around the world, more than 30
branches and a cross-regional and national resource integration and trading platform.
Covering Europe, America, Africa, Asia and Oceania.
Oasis Power Energy (Global) Trading Center has comprehensive functions such
as online account opening, customer management, transaction management,
pending order declaration, option trading, matching transactions, institutional
custody, global circulation, market release, risk control, and market supervision.
Information release, real-time release of daily carbon market market information and
market historical information; market supervision, responsible for monitoring trading
behavior and issuing early warnings. Comprehensively establish a multi-level
regulatory system, and clarify the division of regulatory responsibilities between
relevant countries and various competent departments and transaction management
agencies. For matters such as the establishment, approval or filing of changes of
transaction management institutions, it is necessary to submit the required materials
and qualifications to the competent department of ecology and environment in the
country where the enterprise or individual is located. This non-profit institution shall
prepare monthly, quarterly and annual reports on transaction status. Including
transaction volume, transaction CO2e, block transaction status and other information
of each transaction type. Submit to the ecological and environmental authorities ofeach country, and be archived by the United Nations Environment Program and the
Intergovernmental Panel on Climate Change (IPCC).
Today, the transition of the global economy to low carbon is the general trend.
Under the strong support and advocacy of the United Nations Panel on Climate
Change and governments around the world, consumers' demand for environmentally
friendly products and services is increasing day by day, and the continuous
development of low-carbon industries and financial products is promoted. All major
countries in the world regard green development as the core new driving force for
economic growth. The capitalization of carbon emission rights worldwide due to their
scarcity, the unification of the international carbon trading market and the
connection of national markets have become irreversible trends.
In recent years, important progress has been made in climate change
negotiations, laying the foundation for promoting the development of the global
carbon market. The international carbon market is in a period of change and
adjustment. All countries are actively promoting energy conservation and emission
reduction mechanisms and reforming new market mechanisms. Carbon financial
products are favored, and financial innovation is advancing rapidly. At present, retail,
investment, asset and insurance products are the four mainstream carbon financial
products in the world. Large international institutions are actively trying low-carbon
insurance and investment products. Overall, the future will continue to be a trend of
continuously enriching products and gradually expanding transactions. Carbonfinancial derivatives will become one of the important contents of financial
innovation of commercial banks in various countries in the future.
In the early days of the carbon trading market, most carbon trading took place
among developed countries, especially the United States, the United Kingdom, and
Canada. Carbon trading in Asia started relatively late. After the emergence of the
carbon market, corresponding carbon emission quotas and carbon emission
reduction credit transactions also appeared accordingly. The exchange designs
corresponding standardized contract products according to policies and regulations,
and provides a trading platform to provide liquidity for the carbon market and help
carbon market participants to stabilize risks. At present, the typical carbon financial
trading instruments of Oasis Power Energy (Global) Trading Center mainly include
carbon forward trading, carbon options, carbon futures and securitization of carbon
financial products. On the one hand, carrying out carbon trading futures and
derivatives transactions can provide an efficient information exchange platform and
form an open and transparent transaction price. It is not only convenient for buyers
and sellers to find counterparties, but also provides an authoritative and fair pricing
mechanism for the spot trading of emission rights of related companies. On the other
hand, it can provide effective hedging tools for relevant spot companies. Since the
emission right projects need to be operated for a long time after they are completed,
the price of emission reductions generated during this period is also constantly
changing. The price risk can be effectively avoided through carbon emission rightsderivatives trading.
In August 2022, Oasis Power Energy (Global) Trading Center put forward an
operation plan centered on tightening the total quota and changing the cost control
mechanism. This program has been recognized and respected by many carbon rights
exchanges. At the end of 2022, many carbon rights exchanges that have been sluggish
for many years will be revitalized, and market prices will rise steadily.
Oasis Power Energy (Global) Trading Center, the world's second cross-regional
resource integration trading platform. It is gradually adjusting and unifying the carbon
emission standards of Europe, the United States and Asia, and gradually promoting
the development of the global trading system. Let carbon assets flow and trade
globally, gradually remove various obstacles, and make the global carbon trading
market a reality.
Oasis Power Energy (Global) Trading Center is a rising star, the focus of strategic
deployment is to open individual voluntary carbon trading. Establish a more complete
energy data statistics system and formulate a more rigorous quota plan. In the
collection of energy data, strictly control the authenticity, completeness and accuracy
of energy statistics, monitoring and analysis data. In terms of market quotas, the
allocation method of increasing the auction proportion in real time can be achieved
to the maximum extent. In the future, total emission reduction can be considered.
Improve the scientific, reasonable and effective price formation mechanism, and do a
good job in the three elements of diversified subjects, market-oriented products andtransparent supervision. Form an effective, liquid, stable carbon trading center with
breadth, depth and flexibility. Improve the pricing mechanism of the carbon market
to ensure the fairness and openness of the market. Provide learning programs for
incentive mechanism, guidance function, risk response and stable expectations. Let
more people have a clearer understanding of the carbon market trading system.
In the next 40 years, the international economy will experience a very steep
emission reduction path, and Oasis Power Energy (Global) Trading Center is also
experiencing an unprecedented challenge. We still have a long way to go in the future.
At present, the world is in the transition from industrial revolution to energy
revolution, and all countries are accelerating reform and innovation. This will be a
long journey of new energy reform, and the world will face huge challenges in cost,
market, technology and policy. Try to go beyond the Energy Impossibility Triangle (i.e.:
low-carbon cleanliness, sufficient supply, and low cost cannot be both). Going beyond
the impossible triangle of energy, we must also have a financial market that can
provide large-scale, low-cost long-term financial support. Undoubtedly, banks and
capital markets are still the main battlefield, but this is not enough. A new type of
capital market and financial market is also needed, that is, the carbon market. The
birth of OPETC has reached a scientific, reasonable and effective system and
mechanism in terms of scale, price and liquidity.
There is a famous saying in Silicon Valley, "People always underestimate the
long-term impact of a new technology or new thing, but overestimate its short-termimpact." Perhaps the carbon trading market is one such novelty. "All the present that
is taken for granted is the future that once seemed impossible. All the future that
seems unimaginable now may be the present that will be taken for granted
tomorrow." Undoubtedly, Oasis Power Energy (Global) Trading Center shoulders great
responsibilities and glorious missions, and is worth looking forward to.
Special Thanks
Alison Schneider, Alberta Investment Management Corporation
Christina Olivecrona, AP2
Claudia Kruse (Vice Chair) and Marta Jankovic, APG
Steve Waygood and Pauliina Murphy, Aviva
Sonia Favaretto and Catarina Bronstein, Brazilian Stock Exchange (B3)Carly Greenberg, Walden Asset Management
Priya Mathur (Chair) and Anne Simpson, CalPERS, CalPERS
David Atkin and Alexandra West, CBUS
Erin Levey, eRevalue
David Wood, Harvard Kennedy School
Justin Kew, J.P. Morgan
Allan Emkin and Sarah Bernstein, Pension Consulting Alliance
Marcel Jeucken, PGGM
Alex Struc, Pacific Investment Management Company (PIMCO)
Louise Scott, Price Waterhouse Coopers (PwC)
Vivina Berla, Sarona
Catherine Howarth, ShareAction
Vipul Arora, Solaron Sustainability Services
Karin Askelöf, Swedfund International AB
Simon Smiles & James Gifford, Union Bank of Switzerland (UBS)
Gavin Power and Jerome Lavigne-Delville, UN Global Compact
Elodie Feller, United Nations Environment Program Finance Initiative (UNEP FI)
Mike Zelouf, Western Asset