Carbon Credit Certificates

About Emissions Trading

admin — Mon, 28 Mar 2011 02:05:25 +0000

Emissions trading is an administrative approach used to control pollution by providing economic incentives for achieving reductions in the emissions of pollutants. It is sometimes called cap and trade. A central authority (usually a government or international body) sets a limit or cap on the amount of a pollutant that can be emitted. Companies or other groups are issued emission permits and are required to hold an equivalent number of allowances (or Carbon Credit Certificates) which represent the right to emit a specific amount. The total amount of allowances and Carbon Credit Certificates cannot exceed the cap, limiting total emissions to that level. Companies that need to increase their emission allowance must buy Carbon Credit Certificates from those who pollute less. The transfer of allowances is referred to as a trade. In effect, the buyer is paying a charge for polluting, while the seller is being rewarded for having reduced emissions by more than was needed. Thus, in theory, those that can easily reduce emissions most cheaply will do so, achieving the pollution reduction at the lowest possible cost to society.

So what are Carbon Credit Certificates?

admin — Mon, 28 Mar 2011 02:02:16 +0000

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

Welcome to Carbon Credit Certificates

admin — Mon, 28 Mar 2011 01:58:00 +0000

Welcome to Carbon Credit Certificates, please feel free to browse the site for useful information and links on Carbon Credits Certificates.