Event: Asia Clean Energy Forum 2019 PRC’s Carbon Market: Accelerating a Green Economy in the People's Republic of China and Reducing Global Emissions 20 June 2019 Author / Speaker Yifei Zhang Adopting a carbon emission trading system provide a theoretical way to solve the problem of inefficient allocation of carbon emission rights and may bring huge potentials for energy saving and emission reduction. This presentation explored the emission reduction effect of carbon emission trading mechanism using DID and PSM-DID measurement methods and city-level data in China from 2004 to 2015. The results show that the implementation of the carbon emission trading system has significant emission reduction effects for the 11 pilot cities studied. The pilot areas should be expanded gradually from the eastern region to the central and western regions through demonstration effect. Disclaimer The views expressed on this website are those of the authors and do not necessarily reflect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent. ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. By making any designation of or reference to a particular territory or geographic area, or by using the term “country” in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area. Topics Energy Environment