Chinese media reports that the Clean Development Mechanism Executive Board of the United Nations has stopped approving aid for China's wind power projects due to concerns that the Chinese government has cut subsidies in order to make these projects qualify for certification.
According to an insider, more than 50 wind power projects in China have been affected.
It is said that the board halted the approval process since it was worried that low rates for power set by the Chinese government help wind power projects meet the requirements for getting carbon credits. In addition, the board was not satisfied with China since it thought that China had already set its own renewable portfolio standard targets and in this case China should spend money to subsidize its power projects.
Lex de Jonge, the chairman of the board, said in an interview that the board had noticed that more and more wind power CDM projects in China had shown lower power rates over recent months. The chairman stated that if the power rate is lowered, the projects won't require additional investment.
Under the Kyoto Protocol, only projects with additional investment are eligible to obtain carbon credits.
Statistics from China's National Development and Reform Commission show that by October this year, 663 CDM projects in China had been registered with the board and these projects are expected to reduce carbon dioxide emissions by 190 million tons annually, accounting for about 58% of the world's total reductions claimed under the CDM.
