The dangerous levels of harmful greenhouse gases such as CO2 in the air has resulted in global anxiety about the highly destructive effects they have on the environment. Systems like carbon offset and carbon credits were suggested to improve the state of affairs by giving incentives to organizations so that they conduct their operations in an ecologically sustainable way.
The use of carbon credits is a recent phenomenon. One carbon credit gives the authorisation for emission of one tonne of carbon dioxide or a similar amount of any other greenhouse gas into the atmosphere. The overall amount of emissions in the world can be controlled through the carbon trading method in which carbon credits can be sold and purchased.
Carbon credits are distributed among organizations to cap the level of greenhouse gases such as CO2 that they release. Carbon trading is used when the company's emissions go beyond its allowance of carbon credits, forcing it to purchase credits from others who have opted for more ecological ways of operating and thus have carbon credits to spare.
Hence, total carbon emissions remain under the agreed levels, and organizations are encouraged to use eco friendly ways of doing their businesses that reduce the quantity of gases discharged by them and save them from extra costs to be made on carbon credits. This scheme is beneficial for companies using eco friendly methods to keep trying in this regard as they can make more earnings from carbon credits trading.
Carbon credits can be bought like any other commodity because they are offered for sale in an open market and there are many agencies that engage in this trade. Carbon credits can also be bought by persons not representing any enterprise, if they wish to bring down their own carbon footprint. The amount contributed through your investment is routed to fund ecological schemes running in various parts of the world that contribute towards counterbalancing your emissions.
The use of carbon credits is a recent phenomenon. One carbon credit gives the authorisation for emission of one tonne of carbon dioxide or a similar amount of any other greenhouse gas into the atmosphere. The overall amount of emissions in the world can be controlled through the carbon trading method in which carbon credits can be sold and purchased.
Carbon credits are distributed among organizations to cap the level of greenhouse gases such as CO2 that they release. Carbon trading is used when the company's emissions go beyond its allowance of carbon credits, forcing it to purchase credits from others who have opted for more ecological ways of operating and thus have carbon credits to spare.
Hence, total carbon emissions remain under the agreed levels, and organizations are encouraged to use eco friendly ways of doing their businesses that reduce the quantity of gases discharged by them and save them from extra costs to be made on carbon credits. This scheme is beneficial for companies using eco friendly methods to keep trying in this regard as they can make more earnings from carbon credits trading.
Carbon credits can be bought like any other commodity because they are offered for sale in an open market and there are many agencies that engage in this trade. Carbon credits can also be bought by persons not representing any enterprise, if they wish to bring down their own carbon footprint. The amount contributed through your investment is routed to fund ecological schemes running in various parts of the world that contribute towards counterbalancing your emissions.
About the Author:
Learn more about Carbon Credits and Carbon Trading to get a deeper understanding on how you can help in saving the environment. Don't reprint this exact article. Instead, reprint a free unique content version of this same article.
Aucun commentaire:
Enregistrer un commentaire