EBTI is Bringing ace thought leadership to your decarbonization journey.
Types of Carbon Credits:
There are two distinct types of Carbon Credits:
1. Carbon Offset Credits (COC’s)
2. Carbon Reduction Credits (CRC’s)
• Carbon Offset Credits consist of clean forms of energy production, wind, solar, hydro and biofuels.
• Carbon Reduction Credits consists of the collection and storage of Carbon from our atmosphere through bio sequestration (reforestation, forestation), ocean and soil collection and storage efforts.
• Both approaches are recognized as effective ways to reduce the Global Carbon Emissions “crises”.
CARBON MARKETS:
• A carbon market turns emission reductions and removals into tradeable assets, thus creating incentives to reduce emissions or improve energy efficiency.
• The carbon markets can be compliance and voluntary.
• Carbon trading started formally in 1997 under the United Nations’ Kyoto Protocol on climate change which had more than 150 nation signatories.
• Parties with commitments under the agreement agreed to limit or reduce their greenhouse gas emissions between 2008 – 2012 to 5.4% which were well below the levels of 1990.
• Emissions trading, as set out in the Kyoto Protocol, allowed countries to sell the excess capacity of emission units to countries that had levels well over their targets.