Carbon Credit~ What it is

[mickeyd]

I have read about this evasive thing, but was never quite sure what the heck it actually was. Got this from Investopedia. Since they can be traded, is there an index? An ETF? a MF? It's still a big mystery to me.

Term Of The Day: Carbon Credit
------------------------------------------------------------
A permit that allows the holder to emit one ton of carbon
dioxide. Credits are awarded to countries or groups that have
reduced their green house gases below their emission quota.
Carbon credits can be traded in the international market at
their current market price.

 

[lazygood4nothinbum]

here's a picture of just some of the plants i've grown in my garden. i specifically decided when i bought this place to plant as much as i could to try & make up for what i take from the planet. my property is by far more plants than house. even over the house is a canopy of trees. from that i get the carbon credits which not only allow me to live here with an easy conscience but it also allows me to drive hard the stang gt.

 

[CybrMike]

I have read about this evasive thing, but was never quite sure what the heck it actually was. Got this from Investopedia. Since they can be traded, is there an index? An ETF? a MF? It's still a big mystery to me.

I thought they were mostly for companies that spew carbon into the atmosphere. If they use less than their allotment of pollutants, they can sell the remainder on the market for companies that use more than they are alloted.

I do not think this is for personal use, but for business use.

Be very cool to take this to a personal level though.

 

[ERD50]

more info here:

Carbon credit - Wikipedia, the free encyclopedia

Personal carbon trading - Wikipedia, the free encyclopedia

I'm not totally up on it, but I think the carbon credits are totally voluntary. If you want to demonstrate that you are meeting some goal, you can buy credits, or reduce your carbon footprint and then sell those credits to others.

Some other regulated pollutants are treated this way, and it makes a lot of sense. The issue here is that w/o any real economic incentive, carbon credits are a bit hollow.

Maybe someone can fill in more, but I thninks that is the basic issue.

-ERD50

 

[mickeyd]

thought they were mostly for companies that spew carbon

I thought so also until VP Gore claimed that he was allowed to run up his electric use @ home because he somehow offset that use with a carbon credit.

The mystery continues...