The Current Situation and Accounting Risk Prevention of Clean Development Mechanism in China

摘要

Despite of the rapid development of Chinese Clean Development Mechanism Projects (CDM) projects,the related administrative system and accounting system is still in its infancy at present. There are no specific norms or references for the confirmation of CDM project, the calculation of the cost and revenue, the disclosure and identification etc. Therefore, how to prevent the accounting risk in the process of CDM project development is a key matter of the prospect of Chinese CDM project.In order to enable enterprises to avoid possible accounting risks of CDM projects, companies should adopt appropriate countermeasures, such as the opportunity cost of CDM in the fair value, the reaction to the gain or loss caused by potential risks, and the standardization and improvement of the disclosure and identification system of carbon emissions reductions.