Jinhua grid operator powers up to accelerate exporters' green transition

Enterprises in Jinhua, Zhejiang province, are gaining a competitive edge globally, thanks to innovative green measures by the local power grid operator, as products with low-carbon labels take center stage in the international market.

Zhejiang Haers Vacuum Containers Co is among those benefiting from such efforts, as it is an exporter of vacuum flasks. In a batch bound for Germany on Monday, the products were fitted with special labels, on which a quick smartphone scan revealed their carbon footprint — from the intensity of emissions across each production stage to real-time data on energy use.

The time-stamped labels, which record every wattage of electricity used and carbon emissions, are part of a broad push by Jinhua to adhere to the European Union's Carbon Border Adjustment Mechanism that will be fully effective next year.

The CBAM imposes tariffs of 60-100 euros ($69.9-116.4) per metric ton of carbon emissions on imports such as steel and aluminum.

Jinhua's exports totaled 771.9 billion yuan ($107.79 billion) last year with the EU and the United States being its key markets, where low carbon requirements on exports are being increasingly tightened.

To this end, local power grid operator State Grid Jinhua Power Supply Co has developed a time — and region-specific carbon factor accounting platform. Supported by blockchain and big data solutions, the platform can precisely calculate hourly and regional carbon emissions — giving every kilowatt-hour of electricity a unique "carbon footprint ID".

According to Hou Jiansheng, project leader at State Grid Jinhua, the carbon intensity of electricity fluctuates with time and location. Solar power at noon, for instance, carries a lower carbon footprint, while coal-fired power at night results in higher emissions.

"It's like switching from checking a traditional almanac to consulting a real-time weather forecast," Hou said.

At Haers, for example, the polishing stage of vacuum flasks production was shifted to coincide with peak solar generation at midday, cutting emissions by 27 percent for that process alone and saving the company over 10 million yuan in annual electricity costs.

Similarly, at Zhejiang Bada Electronic Instrument Co, 32 new carbon management terminals now display live data on grid power emissions, rooftop solar output and individual equipment consumption.

"On April 15 at noon, when solar power was abundant, producing one smart meter emitted nearly 30 percent less carbon compared with using grid power alone," said Shan Kadi, general manager at the company.

With the addition of green power trading, the firm has achieved days where each kWh produced as little as 0.028 kilograms of carbon dioxide.

The system is already yielding results beyond factories. Exporters in Yiwu International Trade City, located in Jinhua, report that polled clients are showing greater confidence in the low-carbon competitiveness of products from Zhejiang. Several banks have also begun using dynamic carbon data as a key reference for green credit lending.

The success of the platform in Jinhua is no accident.

The city is a major export hub with more than 15,000 private enterprises engaged in international trade — many in sectors such as machinery and small commodities that are vulnerable to carbon tariffs.

Jinhua issued a work plan earlier this year to establish a carbon footprint database and strengthen emissions monitoring, laying the foundation for the system's rollout.