Efficiency of carbon market


Carbon markets are significant and they are mounting in today’s environment due to global warming. Since last many decades, there is a growing mindfulness of climate change risks and need to lessen greenhouse gas emissions. Nations recognized the necessity to limit the gathering of greenhouse gases (GHGs) in the atmosphere up to a level that will avert hazardous anthropogenic interference with the climate system.


 Carbon market is a market where carbon emissions can be merchandized. It enables governments to set a price on carbon emissions, so companies cannot pass environmental costs on to the public, the way they do today. Major goal of Carbon markets is to decrease greenhouse gas emissions in cost-effective manner by setting limits on emissions and allowing the trade-off of emission units, which are tools representing emission reductions.

Carbon trading, also known as emissions trading, is a market-based mechanism to limit GHG. Carbon markets can be implemented in many ways. The most famous, Cap-and-trade schemes are executed to regulate carbon dioxide (CO2) and other emissions. Under this scheme, governing body set cap which is based on some factors like the type of industry it belongs to and the ease with which the industry could feasibly reduce its emissions. Cap-and-trade schemes can be either mandatory or intended. A fruitful cap-and-trade scheme depends on a strict but practicable cap that drops emissions over time. If the cap is set too high, surplus of emissions will enter the atmosphere and the scheme will be futile. In broad sense, a government has three level of controls to tackle environmental problems that include setting emissions limits, introducing carbon taxes, and enabling a carbon market.

There are some benefits of carbon trading such as reduction in greenhouse gas emission, source of revenue for developing nations, and it supports a free market system.

In recapping the facts, setting price on carbon is crucial to drive the technological and behavioural improvement in order to limit climate change. Market-based schemes such as cap-and-trade emission trading are vital to price carbon emissions.

Comments

Post a Comment

creative writing

Stem Cell therapy for Neurological Disorders: Life saver or threat

Image
It is claimed in medical reports that stem cells is used in patients suffering from neurological disorders. But it is a stormily debate among researchers and medical experts. Some view this therapy as a lifesaving capsule where as others feared about the consequences of inducing this treatment. Today, people are excited to know that medical specialists have options to treat irreversible ailment of the brain such as onset neurodegenerative disorders like Parkinson’s disease, younger onset inflammatory diseases such as multiple sclerosis or even conditions in which there is an inborn fault of metabolism. Stem cells are part of the body’s normal repair system which substitutes dented or dying cells where possible. In Stem cell therapy, medical experts introduce cells into the damaged tissue in order to treat the disorder or the injury. Stem cells have not yet developed to perform a particular function and are described as unspecialised. Each stem cell has capacity to develop into ...
Read more

Husband n Husband : Psychological thriller movie story (Theme-1)

A traditional family of North Indian suburb was against female infant. Most people of community did not accept female child in their family and do injustice if she remained alive. Women live under extreme fear because they will be tortured if they deliver female child. Heartbreaking incident occurred when a woman (Seema) of thakur family gave birth to female child. Due to fear that her daughter will be sacked, she flashed the news that son is born. At the same time, she sent a message to her maternal side to look after her child. Males of family were very happy.  Next day, when some ceremony were to perform, her mother in law visited her room but could not find the infant. She inquired about infant from Seema’s mother but she was not be able to reply. All were worried as how did infant misplaced. But Seema was quite normal. Her husband came to her and asked about the child. She did not reply. He embraced her tightly in anger but Seema did not speak a single word. Then h...
Read more

Talent management in constantly changing global market

Talent management can furnish corporations to develop long-term policies so that right candidates can be recruited to boost the business success.  Talent management is an embryonic practice to espouse new technology for good health of organization. In management literature, plethora of researchers have elaborated the term talent management. Talent management is an incorporated set of processes, programs and cultural norms in any firm designed and implemented to attract, develop, deploy and retain talent to achieve strategic objectives and meet future business needs. The objective of human resource management to categorize, manage and retain talent across the organization to set new strategies of success. It is necessary that organizations integrate a highly functional talent management solution across all aspects of the business. Talent management has become a standard for organizations to create competitive advantage through their human capital assets. This can be acco...
Read more