Beijing announced sweeping reforms to its national electricity market on February 14, 2026, centered around the implementation of blockchain technology to verify green power generation and consumption. The move, detailed in a State Council proposal, aims to establish a fully traceable system for renewable energy credits and integrate them into national carbon accounting practices by 2035.
The core of the initiative involves “full-chain certification” of green electricity, utilizing blockchain to track energy from its point of origin through to complete-use. This system is intended to bolster trust in renewable energy claims and prevent fraudulent accounting of green certificates, which serve as proof of renewable electricity production. According to the State Council document, authorities will “fully introduce blockchain and other technologies” to achieve this traceability.
The reforms are designed to accelerate the creation of a nationally unified green certificate market, expanding both mandatory and voluntary green electricity consumption. Power generation and consumption entities will be able to enter into medium and long-term green certificate purchase agreements, facilitated by the blockchain-based tracking system. Officials are also exploring pathways to incorporate these certificates into national carbon reporting, potentially gaining international recognition for China’s standards.
Beyond the green energy certification, the plan envisions a unified national electricity market by 2030, with market-based trading accounting for approximately 70% of total power consumption. This will involve integrating all power sources and users, streamlining inter-provincial and regional trading, and establishing unified rules and technical standards for spot markets. The framework also promotes various trading models, including multi-year contracts and aggregated trading options.
The green certificate system itself will undergo significant improvements. The certificates will function as the primary credentials for identifying renewable energy electricity, and authorities will strengthen price monitoring to maintain reasonable levels. The scale of green electricity consumption across participating entities is also expected to expand. The government intends to establish a formal green electricity consumption certification mechanism, leveraging blockchain for full verification of production and consumption chains.
China also aims to elevate its green electricity standards to international benchmarks, seeking stronger communication with other nations regarding green certificate applications. The State Council document highlights plans to establish capacity markets to ensure reliable power sources, with pricing mechanisms for coal-fired power, pumped storage, and modern energy storage. The government is encouraging the participation of new types of business entities, such as virtual power plants and smart microgrids, in electricity markets, ensuring they share transmission costs and system regulation duties fairly.
Implementation of the reforms will be coordinated by the National Development and Reform Commission and the National Energy Administration, with local governments formulating implementation rules tailored to regional conditions. Major developments will require timely reporting through established procedures. The government emphasized unified electricity market rules throughout the system.
Market participants are now awaiting further details on the implementation of the blockchain-powered green electricity certification system as the 2030 deadline approaches. The State Council has not yet announced a timeline for the rollout of specific blockchain infrastructure components.
