China Life Insurance Company Limited(601628) property insurance Fujian Branch disclosed on the 4th that the first batch of forestry carbon sequestration index insurance for state-owned forest farms in Fujian Province were successively implemented in Fuding County, Ningde and sanmingsha County, providing a total of 1.06 million yuan of carbon sequestration loss risk guarantee for more than 70000 mu of state-owned forest farms in both places.
This is another breakthrough in Fujian’s insurance industry’s “double carbon” strategy after Longyan Xinluo District successfully piloted the country’s first forestry carbon sink index insurance.
In order to actively explore the strategic path of financial boosting “double carbon”, Fujian Branch of China Life Insurance Company Limited(601628) property insurance took the lead in introducing insurance mechanism into the concept of forest ecological surplus value, and created the first forest carbon sink index insurance product in China. It was piloted in Xinluo District, Longyan City in April 2021, filling in the gap in the industry.
In January this year, the leading group for the pilot work of green financial reform in Fujian Province included forestry carbon sink index insurance in the list of the second batch of nine replicable innovative achievements of green financial reform in Fujian.
China Life Insurance Company Limited(601628) property insurance Fujian branch official said that the R & D personnel of the company, based on the methodology of forest carbon sequestration project, studied the biomass and carbon sequestration capacity of main tree species in Fujian state-owned forest farms, and established a functional model for the measurement of forest damage and carbon sequestration capacity reduction of state-owned forest farms in combination with the loss of historical carbon sequestration capacity, The forestry carbon sequestration index insurance products suitable for state-owned forest farms in the province have been innovatively developed.
Carbon sink refers to the process, activity or mechanism of absorbing carbon dioxide in the atmosphere through afforestation, vegetation restoration and other measures, so as to reduce the concentration of greenhouse gases in the atmosphere. Forests have an important carbon sink function, and the carbon dioxide absorbed each year accounts for about 2 / 3 of the whole terrestrial ecosystem The forest coverage rate of Fujian Province has remained the first in China for 43 consecutive years, with strong carbon sequestration capacity. It is the country’s leading green treasure.
Fu Jin, general manager of Green Finance Office of Fujian Branch of China Life Insurance Company Limited(601628) property insurance, said that the forestry carbon sequestration index insurance of state-owned forest farms developed this time is based on the carbon sequestration of main vegetation and historical carbon sequestration loss of state-owned forest farms in the province, and is applicable to state-owned forest farms in the province. Next, the company will improve the coverage of forestry carbon sequestration index insurance of state-owned forest farms, give full play to the insurance force, promote the implementation of “double carbon” strategy in Fujian, and protect Fujian’s valuable forest carbon sequestration resources.
