Background Introduction

Those governments, which signed The Paris Agreement, have committed to control the increase of global average temperature below 2 Celsius, and strive to limit the temperature rise within 1.5 Celsius. As the Paris Agreement has entered the implementation stage since 2016, it received extensive support and participation from worldwide.

President Xi Jinping attended the Climate Ambition Summit and proposed that China has not only made important contributions for the Paris Agreement to tackle climate change but also China is an active practitioner in the implementation of the Paris Agreement.

At the Fourth Session of the Thirteenth National People's Congress held on the 5th of March in 2021, Premier Li Keqiang of the State Council made a government work report to the Congress on behalf of the State Council. It clearly states that during the "14th Five-Year Plan" period, China will implement the nationally determined contribution target for climate change in 2030. Meanwhile, China plan to accelerate the green transformation of development methods, coordinate high-quality economic development and high-level protection of the ecological environment, and reduce energy consumption and carbon dioxide emissions per unit of GDP by 13.5% and 18%, respectively

In addition to the huge efforts made by the government, companies can also play a key role in ensuring the goal to control global temperature rise. The scientific carbon target refers to any greenhouse gas emission reduction target that meets the necessary measures to achieve the goals of the Paris Agreement in accordance with the latest climate science theory, which is to control the global temperature rise below the pre-industrial level below 2 degrees Celsius as well as strive to limit the temperature rise within 1.5 degrees Celsius the pre-industrial level.

The scientific carbon target represents a more robust way for companies to manage emissions in the long term. The scientific carbon target objectively and scientifically evaluates the goals that need to be achieved for implementing the reduction of global greenhouse gas emission according to the relevant carbon budget, rather than setting it based on the goals that any company could achieve. The scientific carbon target has laid a solid foundation for the company's long-term climate change strategy, and can improve the competitive advantage of company in the process of transition to a low-carbon economy.

PONY provides the following services for government, enterprise and institution

Decomposition of regional carbon targets

According to the total carbon emission targets issued by the national and provincial governments, Pony assists local cities and counties to research and determine the total annual carbon emission and intensity control targets, helps government departments formulating and implementing to control various industries for carbon emission and policies, assist in improving the statistics and accounting of regional carbon emissions basic data, and ensure the achievement of total carbon emissions control and promote regional low-carbon and green development.

SBTi Scientific Based Target Initiative

In response to the actual situation of enterprises and organizations as well as the relevant requirements of SBTi, Pony would submit a letter of commitment and assist in setting emission reduction targets so that the targets are in line with the latest climate science, and meet the emission requirements of the Scientific Based Target Initiative (SBTi) for the Scope 1, Scope 2 and Scope 3, and assist companies in establishing a carbon emission reduction system.

Implementation process

At present, carbon target decomposition and SBTi projects are mainly implemented by the third-party organizations that are entrusted by local authorities or enterprises independently seek third-party organizations for implementation.

Main Steps

The main steps of the decomposition of regional carbon targets:

Step 1. Preliminary investigation

Step 2. Analysis of effect factors; Carbon emission intensity per unit GDP; Trend prediction

Step 3. Research the plan of energy saving and emission reduction; Formulate the path of energy saving and emission reduction

Step 4. Implementing process guarantee and evaluation

Step 5. Prepare the implementation plan of Carbon target plan; Facilitate the establishment and implementation of energy-saving and emission-reduction targets during the 14th Five-Year Plan

Main steps of SBTi

Overview - Setting the business reasons for scientific carbon goals - Scientific carbon target setting method - Setting the scientific carbon goals: against the consideration factors of all emission scopes - Setting the scientific carbon goals: Scope 1 and Scope 2 - Setting the scientific carbon goals: Scope 3 – Establish the internal support against scientific carbon goals - Promotion and follow-up progress

The Advantages of Pony’s Technologies

PONY is the governing unit of the Alliance of Carbon Emissions Trading, China Energy Conservation Association. It has completed the verification and validation work of annual greenhouse gases emission for more than 450 enterprises, which include the key enterprises and covers eight major industries that are contained in the national carbon trading market, organized by Shandong, Guangdong, Xinjiang, Ningxia, Heilongjiang, Qinghai, Liaoning, Shanxi, Tianjin, Shenzhen and other provincial and municipal governments.

PONY owns the carbon emission technical team which is composed of dozens of intermediate and senior engineers, many of whom have the qualifications and experience from working on the United Nations CDM project as lead auditor. PONY also has extensive experience on the multiple projects such as China's carbon trading in experimental cities, technology pathways of carbon peaking, inventory compilation of greenhouse gas emission, low-carbon topics, and etc.