Carbon Credits

[the_only_turek_fan]

ok.....one thing that I am kinda confused about. I understand how these guys are buying and selling carbon credits. The one thing I don't get is how countries get these.

1) Is each country allocated x number of carbon credits a year? Then whatever credits you don't use you can sell?

2) Or is a country awarded a credit for releasing carbon under a certain level every year? Like if the amount of carbon that you are allowed to releast is 1000 tones for example and if country A only releases 900, then they get a 100 credits? Then those credits can be sold?

[HelloHockeyFans]

FAQ page here: http://www.carbonplanet.com/home/carbon_credits_faq.php

Each carbon credit represents one tonne of carbon dioxide either removed from the atmosphere or saved from being emitted.

For each tonne of carbon dioxide that is saved or sequestered carbon credit producers may sell one carbon credit.

[mykalberta]

Do not also some countries in SA and Africa have surplus credits given due to the lack of economy in those countries?

MYK

[Bobblehead]

I think what also confuses things are private companies that also sell carbon credits, but I don't think they are affiliated with the main Kyoto type carbon credits.

Here is one TerraPass (these were given to the Academy Award presenters this year, instead of the (now taxable) gift bags link)

from their site:

When you buy a TerraPass, your money funds renewable energy projects such as wind farms. These projects result in verified reductions in greenhouse gas pollution. And these reductions counterbalance your own emissions.

[mykalberta]

Originally Posted by Bobblehead

I think what also confuses things are private companies that also sell carbon credits, but I don't think they are affiliated with the main Kyoto type carbon credits.

Here is one TerraPass (these were given to the Academy Award presenters this year, instead of the (now taxable) gift bags link)

from their site:

I think that is the reason TransAlta is big into the WindFarm game. I believe they operate the Sundance coal plant and plan to use the Wind Farm credits for it.

MYK