Jan 14 The Korea Exchange (KRX) will host
trading under South Korea's emissions trading scheme, set to
become the world's second biggest when it launches on Jan. 1,
2015, the Ministry of Environment said Monday.
KRX, the nation's only securities exchange, won the bid to
service the nation's carbon market ahead of the Korea Power
Exchange, a senior government official told Reuters.
The scheme will cap greenhouse gas emissions from over 400
of South Korea's biggest polluters, mainly power generators and
Firms will be given free permits by the government based on
their historical emission levels, but must buy more in the
market if their emissions exceed allocated levels. The amount of
free permits given out will reduce over time.
The Korean government aims to limit emissions in 2020 at 30
percent below business-as-usual levels, with the emissions
trading scheme as its center-piece policy to achieve the target.
South Korea emitted 669 million tonnes of carbon dioxide
equivalent in 2010, making it the world's eighth biggest
(Reporting by Stian Reklev; Editing by Michael Perry)