Chinese giant Sinopec has closed the first bulk agreement transaction on China’s recently launched national carbon market.

Sinopec confirmed it had purchased 100,000 tonnes of carbon emission quota from China Resources Group on 21 July, marking the first bulk agreement transaction since last week’s launch of the national carbon market.

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Sinopec has a total of 17 subsidiaries participating in the national carbon market, while its carbon trading business is operated by its wholly-owned subsidiary China International United Petroleum & Chemicals (Unipec).

The company claims to be accelerating the construction of a clean, low-carbon energy supply system as it targets a reduction in its annual methane emission intensity by 50% by 2025.

It forms part of Sinopec’s "one foundation, two wings and three news" strategy, which looks to lay a strong foundation with “energy resources”, strengthen the "two wings" of improving clean oil quality and modern industrial development, while the "three news" covers exploring new energy, new material and new economy.

China is currently the world’s largest emitter of greenhouse gases, but it has set climate goals of reaching peak CO2 emissions by 2030 on its path to carbon neutrality by 2060.