The Climate Department of the National Development and Reform Commission recently organized a “hearing on administrative licensing issues involving the “National Regulations on the Administration of Carbon Emissions Trading (Draft)”. Representatives from relevant authorities, enterprises and individuals attended the conference. The draft drafted by the Development and Reform Commission will also be submitted to the State Council for review as soon as possible. Investment points: The carbon emissions trading system is advancing at an accelerated pace, and the company is once again profitable as one of the few carbon emission targets in the A-share market. The “Regulations on the Administration of Carbon Emissions Trading (Draft)” were formally presented to the public in the form of a hearing. The NDRC can be described as very efficient in advancing carbon emissions legislation this time. This shows that the country will be putting a lot of effort into reforming the ecological civilization system and regulating the carbon emissions trading market, which is of great benefit to the carbon emissions trading market. The domestic carbon emissions trading market is now gradually being established, and the company already has independent intellectual property technology for carbon dioxide capture and a carbon trading platform, which will benefit first. At the same time, the company built the first 10,000-ton carbon dioxide capture and liquefaction plant in China, and there is huge potential market space in the future. The water sector is catching up, and the group's environmental protection platform pattern is beginning to appear. In the past, the company's energy was mainly focused on desulfurization and denitrification related business. As the Group's environmental protection platform, the future water sector business will surely catch up. The company established Chongqing Yuanda Water Co., Ltd., and the water treatment contract in Beipiao City reflects the rapid response of the company's new management to the strategic goals of water development. In the future, the company is expected to use the Ten Rules of Water and PPP industry policies to rapidly expand orders. Furthermore, in the future, the company is expected to use the advantages of platform resources to carry out catalyst recycling and disposal business and enter the field of hazardous waste treatment. Build the first domestic listing platform for nuclear environmental protection. The policy environment is favorable. The company will benefit from a new round of peak nuclear power investment. The market space for nuclear environmental protection will reach 50 billion yuan by 2020. The company is one of only three domestic enterprises with medium and low emission nuclear waste treatment licenses, and is also the first company to undertake an off-stack nuclear waste treatment project for a nuclear power plant using the EP method. The company is expected to achieve performance growth in the fields of nuclear power, civil and military nuclear waste treatment. Investment rating and valuation: Regardless of new businesses such as nuclear waste, hazardous waste, and carbon trading, we maintain the company's 15-17 revenue forecasts of 38.39, 42.03, and 4,515 billion yuan (3.484 billion yuan in 2014), and net profit of 4.14, 3.17, and 347 million yuan respectively. The corresponding EPS is 0.69, 0.53, and 0.58 yuan/share, respectively. Considering that the company's water sector has begun to gain strength, the company has entered a golden period of development and has reaffirmed its “buy” rating.