On July 15, the Institute of Applied Ecology (IAE) of the Chinese Academy of Sciences (CAS) and the People's Government of Heping District of Shenyang City, signed a framework agreement on the joint establishment of the Northeast China Carbon Neutral Industrial Technology Academy Co., Ltd. It marks the further implementation of the Comprehensive Cooperation Framework Agreement between Shenyang Municipal Government and the CAS Institute of Applied Ecology. 

The anthropogenic emission of CO2 is mainly due to fossil fuel combustion, industrial production and land use changes. Carbon neutrality refers to achieving net zero carbon emissions into the atmosphere through two paths: the emission reduction (i.e., reduction of CO2 emitted into the atmosphere) and the increase of carbon sinks (i.e., the absorption of more atmospheric CO2). To achieve the carbon neutrality goal, it is important to maintain, conserve and enhance carbon sink functions of terrestrial ecosystems, especially forests. 

IAE has significant advantages in the evaluation and enhancement of carbon sink functions of terrestrial ecosystem and it has accumulated rich experience in carbon budget accounting and management. With the technology and talent advantages of the institute, IAE has been supporting Shenyang City and Liaoning Province in planning and adjusting industrial structure, energy structure, and carbon trading market construction. 

At this time, IAE will take the lead in cooperating with a number of institutions and technology companies to carry out carbon neutral industrial technology innovation, with the purpose to build carbon neutral demonstration zones and zero-carbon industrial parks, and to facilitate the green and low-carbon transition of industries in Northeast China. 

Next Focuses on Cooperation:  

1. Speeding up the development of carbon neutral technology. 

2. Building carbon neutral industry innovation platforms, including the international carbon source/sink big data platform, the international carbon neutral technology transformation & demonstration platform, the international carbon neutral financial platform, and the international carbon neutral technology engineering center.  

3. Integrating advantages of IAE and many other institutions and universities in talents and technology. 

4. Giving full play to the demonstration role of carbon neutral technology.  

5. Building Heping District into a "carbon neutral model" for Liaoning Province and the whole country, and make sure all major cities in Northeast China have a complete carbon account, a clear roadmap, and an operational schedule to reach carbon neutrality. 

The Heping District Government plans to invest 50 million yuan to construct a carbon financial industry cluster. At present, the Northeast China Carbon Neutral Industrial Technology Academy Co., Ltd., the Liaoning Carbon Emission Trading Center, and 19 carbon asset management companies have been initially established.