Big Chinese Companies Agree to Greenhouse Gas Cuts

The Climate Group has announced three Chinese members, including the majority state-owned China Mobile, which has 420 million customers and is one of the country’s 10 biggest companies. It is the world’s biggest mobile phone operator and the first State controlled Chinese company to join an international agreement to cut greenhouse gases.
The other two companies are Suntech, the world’s third largest solar energy supplier, which is listed on the New York stock exchange, and privately owned Broad Air Conditioning, the leading manufacturer of non-electric air conditioning units.
China Mobile has agreed, initially, to reduce energy intensity of its $47bn (about £29bn) annual business by 40%, double the national target. This could pave the way for these and other Chinese companies to publish plans to reduce absolute emissions, and to join voluntary carbon trading schemes.
The Chinese government and many businesses have set targets to reduce energy used and increase renewable energy. However the three Climate Group members are said to be the first to make more ambitious commitments to the organisation’s aims, which include significant reductions in greenhouse gas emissions, publishing information on emissions, and supporting international climate change agreements.
Other Chinese companies have applied to join the London-based non-profit group, which is backed by some of the world’s most powerful business figures, said Steve Howard, the Climate Group’s chief executive. Of 100-150 world-leading companies they are targeting to set an example to businesses and policy makers, around 20 are in China, said Howard.
Lenovo, a big Hong Kong-listed computer company, also joined this summer through its US head office.
“The fact that one of the companies [China Mobile] has significant state ownership shows that action on climate change is a priority for the government and the private sector,” said Howard.
Changhua Wu, the group’s greater China director, said Chinese members joining was important in the run-up to a hoped-for international agreement in Copenhagen in 2009 to cut emissions.


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