On November 3rd, 2011, Carbon Disclosure Project (CDP) China Report 2011 was launched in Beijing. SynTao, the local agent for CDP 2011 in China, has been facilitating the engagement with the 100 largest listed Chinese companies based on market capitalization for four consecutive years. SynTao has wrote in the report that more Chinese companies attached great importance to climate change and low carbon at the strategic level and as part of their business strategy.

Representatives from UNIDO, CDP headquarters, Chinese Society for Sustainable Development, Bloomberg, WWF, WRI and Lenovo China attended this launch event and they had a warm discussion on how company tackles climate change, conducts carbon management and values of carbon disclosure to business operation and investors.

In 2011, 11 of the 100 largest Chinese companies by market capitalization responded to the information request and 35% companies provided relevant information. Fewer companies completed CDP’s questionnaire in 2011 than the previous year although a record number of companies provided information. As Chinese companies are becoming increasingly active and transparent in interacting with stakeholders and publicizing their information, more may realize the advantages of quantifying and disclosing their carbon data through CDP’s reporting platform in the future.

Key findings of the report:
- The low carbon policies are very clear and low carbon actions among companies are stepping forward. The Chinese government has promulgated a series of policies to address climate change, covering, amongst them energy savings and emissions reductions, new energy, low-carbon city and carbon trading. In particular, the inclusion of carbon intensity into the 12th Five Year Plan as a binding requirement, demonstrates the determination of the government to respond to climate change actively.
- The participation from banking sectors is much more active than other industry. The banking industry takes the lead with four responding companies, although companies from seven industries in total answered. Contrastingly, industries including Trading Companies & Distributors, Hotels, Restaurants & Leisure, Metals & Mining, Financial Services, Construction Materials, Chemicals, Airlines, and Industrial Conglomerates etc. did not respond to CDP.
- Quantifiable information of carbon emission is hardly to find out; conducting a comprehensive carbon inventory will be an inevitable trend. The instigation of the 12th Five Year Plan and more specific policies will encourage more and more companies to take concrete actions to address climate change. Plans to establish a carbon “Emissions Trading Market” has already made it clear that it will become an inevitable trend and a basic requirement for companies to conduct a comprehensive carbon inventory.

Paul Simpson, the CEO of CDP pointed out that the increasingly need of energy made companies strive for the limited fossil fuel. Developing low carbon economy with a sustainable and profitable economic growth is a good way to reduce the dependence on scarce raw materials. Companies that integrate carbon management into their core business value and conduct the carbon emission management can avoid impacts from climate change and it is the basic for the sustainable development of those companies.

Dr. Guo Peiyuan, the General Manager of SynTao noted that Chinese companies’ responses to climate change will increase step by step ---from ideas to actions and innovative breakthrough. SynTao actively help Chinese companies engage in CDP and hopes to accelerate its development in China. The objective of raising corporate carbon emission awareness has been reached and in the near future, more and more Chinese companies will take actions to address climate change.