Climate Change and Global Warming is now a Reality
To reduce carbon and greenhouse gasses emissions thus mitigating global warming, is Kyoto Protocol. Kyoto Protocol is an agreement between 170 countries which provide mechanisms to reduce greenhouse effect emissions on an industrial scale by capping total emissions and letting the free market assign a monetary value to any shortfall through trading.
For trading purpose, the trading unit is one allowance which equals one metric tonne of carbon dioxide (CO2) emissions.
Like the way the stock market evolved, there currently are five exchanges trading in carbon credit. These exchanges are providing spot market in carbon credit allowances as well as futures and futures’ options to help discover market prices and maintain liquidity. The carbon credit exchanges are:
1. Chicago Climate Exchange
2. Nord Pool
3. European Climate Exchange
4. PowerNext
5. European Energy Exchange
Managing emission of Carbon dioxide, along with other Greenhouse gases such as chlorofluorocarbons (CFCs) and halons gasses is indeed becoming World’s Biggest Commodity Market with Futures and Options worthy trillions of dollar.
Trade Carbon Credit: World’s Biggest Commodity Market with Futures and Options?
My Page is designed to help beginners and average readers make money online to supplement the few dollars they may be earning from their Google Adsense – details of which you can find in My Profile Here, if you will.
Tags: Trade Carbon Credit, Carbon Credit, Biggest Commodity Market, Futures, Options, Carbon dioxide, Greenhouse gases, chlorofluorocarbons (CFCs), halons gasses, Climate Change, Global Warming, weather, Kyoto Protocol, mitigating global warming, Managing emission of Carbon dioxide, One Allowance, carbon credit exchanges
