ACCENT JOURNAL OF ECONOMICS ECOLOGY & ENGINEERING
Peer Reviewed and Refereed Journal, ISSN NO. 2456-1037Available Online: www.ajeee.co.in/index.php/AJEEE
Vol. 06, Issue 03, March 2021 IMPACT FACTOR: 7.98 (INTERNATIONAL JOURNAL) 95 A REVIEW PAPER ON CARBON CREDIT TRADING
Rushina Natu
(Department of Chemistry), P.M.B. Gujrati Science College
Abstract - Fossil fuels are consumed by human beings. We humans are responsible for global warming. In 2015 Kyoto protocol in Japan came into existence and now Paris agreement is in shape.
India is 2nd largest country for Carbon Credit Trading. Carbon credit trading is going to be the benchmark for environment economy of India.
Keywords: Protocol, Adaptability, Implement, Unstoppable, Trades, Mankind.
1 INTRODUCTION
Fossil fuels are regularly burnt in our atmosphere CO2 emission is increasing drastically. This is resulting in increase in green house gases and hence global warming. This global warming is causing melting of ice of glacier on polar places.
This is going to cause harm to whole world. Fossil fuels are gas, coal, oil, petrol, petroleum products etc.
Because of melting of ice the level of sea is increasing which results in merging & submerging of coastal areas &
low level areas like Mumbai Lakshadweep in India & of course in rest of the world.
To reduce G.H.C. we human are doing lots of efforts. Sustainable development less use of fossil fuels.
Plantation, less of cutting trees are few of options which are efforts done by humans but it is not reaching up to the mark. It is not enough for the world to survive.
So the concept of carbon credit was designed and of course it is giving reset the economy of the countries which are their in the trade of the above concept.
Now in India it is a very reproductive concept and industries companies are trying to trade.
An international agreement was made in Japan in 2012 which is widely known as Kyoto protocol. But it was not so very much successful as there was continuous rise in global temperature. So it was not very successful. But yes it is said to be the 1st step towards healing mankind & earth. Now Paris agreement is considered and environmentalists are planning many projects to cut down the GHG emissions. The Paris agreement is considered by many countries so as to reduce emission till 2050 & lead it to zero emission.
2 CLEAN DEVELOPMENT MECHANISM The Kyoto protocol gave importance to CDM so as to reduce GHG emissions. It is a strategy which gives win results. The CDM is the integral part of sustainable development which is leading human life towards less pollution.
This CDM technology has produced effective market in short time &
it is very flexible so easy to adopt by different countries.
Mostly the Asian countries have shown greater adopt city & successful story for CDM projects. Countries like Africa & middle east have not shown good result.
On an average 8000 project &
program of activities (POA's) are registered till 2019.
Source: Authors own estimation based on data by UNFCCC.
(2)Joint implementation the Kyoto protocol suggested joint implementation of countries to earn carbon credits to sale the carbon credits to those countries which are having deficiency of credits &
most important is that it should enhance carbon emission reduction .
Part – C
Ukraine - 276
Russia - 98
Germany - 50
Latin America
10%
Ajuca 2%
Green 88%
ACCENT JOURNAL OF ECONOMICS ECOLOGY & ENGINEERING
Peer Reviewed and Refereed Journal, ISSN NO. 2456-1037Available Online: www.ajeee.co.in/index.php/AJEEE
Vol. 06, Issue 03, March 2021 IMPACT FACTOR: 7.98 (INTERNATIONAL JOURNAL) 96
France - 20
New Zealand - 08
3 EMISSION CARBON CREDIT TRAINING
The emission is unstoppable as humans are not living to sustain the god's gifts on earth so our progress has made us greedy
& self centered. Our growth is costing nature & wild life as well as mother nature. So now the way suggested was carbon credit. One carbon credit is equal to mass of one ton. CO2 emitted by the companies or industries.
Now it is a rule that till the certain limit only industries can emitt CO2 & can pollute with the limitations. This is helping to reduce GHG emission & global warming.
So in a way carbon credits are exchanged in trade market of carbon. So as to maintain the pollution limit &
emission limits. All carbon trades are regulated by governments or international organizations.
The price of carbon credit in international market is from U.S. $ 1/ton CO2 to US$ 150 / ton CO2.
Some carbon projects in India are Jindal Vijaynagar Steel, Powerguda in Andra Pradesh, Handia forest in M.P.
A report says that India is second largest seller of carbon credit in the world which is confirmed by world bank.
4 CONCLUSION
Carbon trading is making life easier to mankind and for the climate change developed and under developed countries are trying to reduce emissions. Kyoto protocol is the 1st step of reducing emission & Now Paris agreement is leading for the betterment of mother earth.
India is planning to uninstall 175 Giga Watts for renewable energy & 450 GW by 2030. Carbon credit trading is going to be the benchmark for environment economy of India.
