Carbon Credits Presentation by Sarita

8/2/2019 Carbon Credits Presentation by Sarita

1/12

CARBON CREDITS:AN EFFECTIVE WAY OF CURBING

POLLUTION

By

Sarita Gurnule


2/12

CARBON CREDITS

Carbon credits are an element used to aid in regulation of the amountof gases that are being released into the air.

This is part of a larger international plan which has been created in an

effort to reduce global warming and its effects.

The plan works by capping the amount of total emissions that can be

released by one company or business.

Introduction:-


3/12

CARBON CREDITS

There are also many companies that sell carbon credits to

commercial and individual customers who are interested in

lowering their carbon footprint on a voluntary basis.

There are two types of market in carbon credit:

Compliance Market (Annexure I countries)

Voluntary Market (Non- Annexure countries)


4/12

CARBON CREDITS

Burning of fossil fuels is a major source of industrial greenhouse gasemissions.

The major greenhouse gases emitted by these industries are carbon

dioxide, methane, nitrous oxide, hydro fluorocarbons (HFCs), etc.,

The concept of carbon credits came into existence as a result of

increasing awareness of the need for controlling emissions.


5/12


6/12

CARBON CREDITS

The Clean Development Mechanism (CDM) is an arrangement

under the Kyoto Protocol allowing industrialized countries with a

greenhouse gas reduction commitment to invest in emission reducing

projects in developing countries

Carbon credits are certificates issued to countries that reduce their

emission of GHG which causes global warming.

Carbon credits are measured in units ofCertified Emission

Reductions (CERs).


7/12

CARBON CREDITS

India is one of the exempted from this protocol as they are stated as

developing countries, but overseas companies can buy carbon credits

from these countries.

INDIAN COMPANIES: TAKING ADVANTAGE

o Gujarat Fluoro Chemicals

o Tata Steelo NTPC

OUTLOOK FOR INDIA


8/12

CARBON CREDITS

Emission allowances:

Under the Kyoto Protocol, the 'caps' or quotas for Greenhouse gases

for the developed Annex I countries are known as Assigned

Amounts

The quantity of the initial assigned amount is denominated in

individual units, called Assigned amount units (AAUs)

Under Joint Implementation (JI)

Under the Clean Development Mechanism (CDM)

Under International Emissions Trading (IET)


9/12

CARBON CREDITSEmission markets:

The Chicago Climate Exchange, European Climate Exchange,

NASDAQ OMX Commodities Europe, Power Next, Commodity

Exchange Bratislava and the European Energy Exchange.

How buying carbon credits can reduce emissions

Carbon credits create a market for reducing greenhouse emissions by

giving a monetary value to the cost of polluting the air.


10/12

CARBON CREDITSConclusion:

There is a great opportunity awaiting for India in carbon trading.

Of the 391 projects sanctioned, the UNFCCC has registered114 fromIndia, the highest for any country.

In the new regime, the country could emerge as one of the largest

beneficiaries accounting for 25 % of the total world carbon trade,says a recent World Bank report


11/12

CARBON CREDITS

BSEGREENEX Launched

BSE launch new index called BSE-GREENEX, measuring the

performance of companies in terms of carbon emissions.

The index model developed by BSE in collaboration with

premier B-school IIM-A, will enable investors take more

informed investment decision about companies in the energy-intensive sectors, amongst others

HITAVADA Article; Dated: 22nd Feb 2012


12/12

THANK YOU

Documents

Carbon Credits Presentation by Sarita