Things you Ought to Know about Carbon Credits
Today, climate change is a much debated topic than it were half a century ago. At the center of climate change is carbon emissions. Carbon emissions contribute to negative climate conditions that are life threatening in the long run. As such, measures aimed at reducing carbon emissions have been brought to life through policy and agreements. The need to offset carbon emission has often been dubbed as the net zero emission campaign where greenhouse gas produced has to balance with the amount that is removed from the atmosphere. This has led to the advancement of the carbon credits discourse.
A carbon credit is a ton of Co2 removed from the atmosphere. The more the tonnage, the more the carbon credits. The amount of carbon credits are certified by institutions such as Vera. The carbon credits can be sold in the carbon trading market and provide opportunities for monetary gains. Also known as carbon offsets, carbo credits can be sold to companies that need more room to offset emissions that cannot be reduced. Oil companies are among the target clients for carbon credits.
To earn carbon credits, a company or individual has to first measure the amount of emissions that their operations are letting into the atmosphere. A strategy to reduce and later offset the emission should follow. Verification and validation is then needed and should be concluded with entering a license agreement.
The carbon credit discourse is crucial as it leads to more responsible actions by companies, nations and individuals. The three can engage in Co2 reduction activities that include reducing travel related effects and increasing reforestation. These initiatives reduce environmental footprint and act in the best interest of climate and life.
Carbon credits are still in their early adoption stages and are expected to be adopted in larger scale into the future. Increased awareness is still needed in this discourse. Importantly, companies and individuals ought to reduce their carbon emissions that should make it easier to offset the remaining emissions. This is because it is more economical to offset less emissions compared to greater amounts of emissions.
Above all, businesses, individuals and countries need to embrace and ought to be enticed to join the carbon credit discourse through incentives. The incentives will increase the momentum and commitment to a cleaner and more sustainable atmosphere and environment as a whole. The effectiveness of carbon credits can be noticed at scale in the long term.
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