Spot products include Shanghai carbon emission quota and national certified voluntary emission reduction.

Carbon emission quota refers to the amount of greenhouse gases such as carbon dioxide emitted by enterprises in the process of production and operation. The carbon emission quota of 1 ton (SHEA for short) is equal to 1 ton CO2 equivalent (1 ton CO2). Shanghai carbon emission quota trading shall be conducted on the trading platform of the exchange. A legal person or other economic organization registered in People's Republic of China (PRC) (China) with a registered capital of not less than RMB 1 10,000 yuan may apply for a line account.

National certified voluntary emission reduction: refers to the emission reduction of voluntary emission reduction projects registered in the national registration system according to the Interim Measures for the Administration of Voluntary Emission Reduction Trading of Greenhouse Gases of the National Development and Reform Department, referred to as CCER for short. Enterprises, legal persons or organizations registered in People's Republic of China (PRC) (China) can apply for CCER accounts.

Forward product

Shanghai carbon quota forward is a forward agreement with Shanghai carbon emission quota as the target, priced and traded in RMB, and cleared and settled on the agreed future date. Legal persons or other economic organizations registered in People's Republic of China (PRC) (China) and opening trading accounts and quota accounts in Shanghai Stock Exchange may apply for forward accounts.

innovative products

Innovative products include carbon quota pledge, carbon neutrality, sale and repurchase, CCER pledge and carbon lending transaction.

Shanghai Carbon Emission Quota Pledge (SHEA): refers to the behavior that the legal owner of qualified quotas pledges all their quotas to qualified pledgees to guarantee the performance of debts and register them through the exchange.

Carbon neutrality: refers to the calculation of the total amount of greenhouse gas emissions directly or indirectly generated by enterprises, organizations or individuals in a certain period of time. Usually, the emission reductions generated by voluntary emission reduction projects that meet the standards are written off to offset the total amount of carbon emissions generated by themselves in a certain period of time.

Sale and repurchase: emission control enterprises sell a certain amount of carbon quotas to carbon asset management companies according to contracts. After obtaining the corresponding quota transfer funds, the emission control enterprises entrust the funds to financial institutions for financial management, and after the agreed period ends, the emission control enterprises buy back the same amount of carbon quotas.

China Certified Voluntary Emission Reduction (CCER) Commitment: A business model for enterprises to obtain financing from financial institutions with their CCER as collateral.

Carbon borrowing transaction: qualified quota borrowers deposit a certain percentage of initial margin, then borrow quotas from qualified quota lenders and trade them on the exchange. After the carbon borrowing period agreed by both parties expires, the borrower will return the quota to the lender and pay the agreed income. Carbon borrowers should be enterprises or institutional investors in Shanghai that are subject to quota management.