Carbon Credit Certificates

Carbon Credit Certificates are a key component of national and international emissions trading schemes that have been implemented to mitigate global warming. Carbon Credit Certificates provide a way to reduce greenhouse effect emissions on an industrial scale by capping total annual carbon emissions and letting the market assign a monetary value to any shortfall through trading. Carbon Credit Certificates can be exchanged between businesses or bought and sold in international markets at the prevailing market price. Carbon Credit Certificates can be used to finance carbon reduction schemes between trading partners and around the world. There are also many companies that sell Carbon Credit Certificates to commercial and individual customers who are interested in lowering their carbon footprint on a voluntary basis. These carbon offsetters purchase the Carbon Credit Certificates from an investment fund or a carbon development company that has aggregated the Carbon Credit Certificates from individual projects. The quality of the Carbon Credit Certificates is based in part on the validation process and sophistication of the fund or development company that acted as the sponsor to the carbon project. This is reflected in their price; voluntary units typically have less value than the units sold through the rigorously-validated Clean Development Mechanism