Guangdong carbon market closes lower

Carbon emissions allowances closed at 59.96 yuan (8.98 U.S. dollars) per tonne on Friday, 0.86 percent down from Thursday, at China Emissions Exchange (Guangzhou), the largest local carbon market in China.

A total of 41,838 tonnes of allowances were transacted on Friday, with a turnover of 2.51 million yuan.

The allowances, officially known as Guangdong Emissions Allowances (GDEA), are carbon dioxide emissions caps assigned to companies. Firms whose emissions surpass their share must buy extra quotas from authorities or purchase unused quotas on the market from those that cause less pollution.

Since its opening in December 2013, the market has traded 200.51 million tonnes of GDEA, with a total turnover of 4.65 billion yuan.