The Shanghai Environment and Energy Exchange will be responsible for opening accounts and the operation of the national carbon emission trading system, according to the announcement.

 Based on Chinese emissions allowances, a standard set by the State Council in late 2017, the national carbon trading system allows trading modes including listing trading by agreement, bulk trading by agreement and one-way bidding.

The transaction price for listing trading will be able to fluctuate by a maximum of 10 percent according to the closing price on the previous trading day, with the minimum declaration amount for bulk trading set at 100,000 metric tons of carbon dioxide and the fluctuation range of the transaction price set at 30 percent.

Market entities applying for one-way bidding can purchase emission allowances from counterparts, with the bidding information released by the exchange.