Developments of smart grids and emission trading system for low-carbon electricity in China

China´s real gross domestic product was around US$7,298 billion in 2011, as the world´s 2nd largest economy and it is the world´s largest carbon emitter. China has embarked on a low-carbon and resource-efficient development pathway since 2009, with the focuses on developing clean energy, protecting energy safety and addressing environmental problems. As a significant part in energy supply, the power grid is vital for the development of clean energies. The Chinese Government aimed to build smart grids and develop domestic emission trading system to facilitate the deployment of green energies and to reduce CO₂ emissions. This paper will discuss China´s need for development of smart grids and an emission trading system for large-scale deployment of clean energies. The status and development plans of the smart grid and emission trading system will also be elaborated.