Shanghai Restricts Surplus Allowance Usage in Pilot

09 May 2016 – The first trading period (2013-2015) of the Shanghai pilot ETS officially ends on June 30. Last Friday (May 6, 2016), the Shanghai DRC published a notice regarding carryover of surplus allowances into next trading period. This notice states that emitters holding surplus allowances after the first trading period will only be allowed to use a third of them each year between 2016-2018; investors who purchased allowances from exchanges will not be subjected to htis limitation.