INTRODUCTION • CARBON CREDITS A permit that allows a country or organization to produce a certain amount of carbon emissions which can be traded if the full allowance is not used • CARBON FOOTPRINTSA carbon footprint is "the total set of greenhouse gases (GHG)emissions caused by an organization, event or product" . For simplicity of reporting, it is often expressed in terms of the amount of carbon dioxide, or its equivalent of other GHGs, emitted.
BACKGROUNDThe concept of carbon credits came into existence as a result of increasingawareness of the need for pollution control.Carbon credits were one of the outcomes of the Kyoto Protocol, aninternational agreement between 169 countries. The Kyoto Protocol createdlegally binding emission targets for developing nations. To meet these targets,nations must limit C02 emissions. It was enforced from Feb’05.The very phase “Kyoto Protocol” has become synonymous with the idea ofsaving the planet from the global meltdown.This can be accomplished by either reducing emissions or by absorbingemissions through processes such as tree-planting and sequestration.
Under the Kyoto Protocol, developed countries are required to limittheir greenhouse gas emissions according to the following formula:Actual emissions must be less than or equal to the assigned amount+/- carbon sinks and Kyoto emissions.They are a measure devised by the Kyoto Protocol to reduce worldGreenhouse Gas emissions, and hence fight climate change.Carbon credits are certificates awarded to countries that are successfulin reducing emissions of greenhouse gases such as water vapour,carbon dioxide, methane, nitrous oxide, and ozone.
• In modern times the burning of fossil fuels like coal, oil and natural gas – in which carbon has been stored for millions of years – combined with accelerated land clearance has led to: exceptional levels of greenhouse gas emissions enhanced greenhouse effect which will result in very rapid warming of the world’s climate The results are likely to include intensified droughts and floods, changed weather patterns, agricultural breakdown, ecosystem disruption, rising sea levels, epidemics, and social breakdowns that ultimately threaten the lives or livelihoods of hundreds of millions of people
encourages provide incentives compliance and to emitters tofinancial managers develop the means stop the increase to pursue cost by which emissions of carbon dioxide effective emission can inexpensively emissions reduction be reduced. strategies
TRADING OF CARBON CREDITS• Buying carbon credits is not a charitable donation, but a retail action. Trade in carbon credits has the potential to make forestry more profitable and to sustain the environment at the same time. • One of the primary solutions for climate change being thought by global warming alarmists is the purchase and sale of carbon credits. For trading purposes, one credit is considered equivalent to one tonne of CO2 emissions. Credits can be exchanged between businesses or bought and sold in international markets at the prevailing market price
VALUE OF CARBON CREDITS • Carbon credits create a market for reducing greenhouse emissions by giving a monetary value to the cost of polluting the air• Carbon credits are measured in tonnes of carbon dioxide. 1 credit = 1 tonne of CO2. Each carbon credit represents one metric ton of C02 either removed from the atmosphere or saved from being emitted. • The carbon credit market creates a monetary value for carbon credits and allows the credits to be traded. • For each tonne of carbon dioxide that is saved or sequestered carbon credit producers may sell one carbon credit.
GENERATION OF CARBON CREDITS Many types of activities can generate carbon offsets. • Renewable energy such as wind farms orinstallations of solar, small hydro, geothermal, and biomass energy • Other types of offsets available for sale on the market include those resulting from energy efficiency projects, methane capture from landfills or livestock, destruction of potent greenhouse gases such as halocarbons, and carbon sequestration projects (such as reforestation) that absorb carbon dioxide from the atmosphere.
CARBON FOOTPRINTS • carbon footprint is a measure of the impact our activities have on the environment, and in particular climate change. It relates to the amount of greenhouse gases produced in our day-to-day lives through burning fossil fuels for electricity, heating and transportation etc.
• as calculating the total carbon footprint is impossible due to the large amount of data required• Wright, Kemp, and Williams define it as , “A measure of the total amount of carbon dioxide (CO2) and methane (CH4) emissions of a defined population, system or activity, considering all relevant sources, sinks and storage within the spatial and temporal boundary of the population, system or activity of interest”. • Calculated as carbon dioxide equivalent (CO2e) using the relevant 100-year global warming potential(GWP100 )
• Once the size of a carbon footprint is known, a strategy can be devised to reduce it, e.g. by technological developments, better process and product management, changed Green Public or Private Procurement (GPP), carbon capture, consumption strategies, and others. • The mitigation of carbon footprints through the development of alternative projects, such as solar or wind energy or reforestation, represents one way of reducing a carbon footprint and is often known as Carbon offsetting
Adani Powers Mundra plant to earn Rs 600 crore in carbon creditsAdani Group announced that the phase III of its power plant in Mundra, Gujarat,consisting of two units of 660 MW each, has received carbon credits under theClean Development Mechanism (CDM) of the United Nations FrameworkConvention on Climate Change (UNFCCC).This achievement makes the Mundra plant the worlds first coal fired power projectto receive carbon credits. With this measure,The plant is expected to generate about 1.8 million Certified Emission Reductions(CERs) each year. Adani Power is expected to earn Rs 600 crore by trading thesecarbon credits during the first 10 years of its operations.
Solid Solar signs MOU with Bank of India to facilitate financing of solar systemsSolid Solar by Gautam Polymers, Indias largest solar lightsmanufacturer with Bank of India for financing of solar systemsthrough its network of banks across the country.This MOU would enable bank financing on solid solar home systemsand solar power plants through bank of Indias extensive network andpopularise the usage in rural and urban areas.The recent Northern Power Grid failure and rising diesel costs hasgiven rise to a growing demand of renewable energy sources aspower backup.
Get discounts on branded goods by slashing carbon footprint • We now can get hefty discounts on trendy apparel and other major branded goods . Following international trends, stores in India are waking up to carbon neutral stores in which customers are able to redeem "credits" accumulated through the purchase of environment friendly products for discounts.
Woodland is all set to go "carbon neutral" in 80 of its stores in Delhi-NCR and Karnataka • Being carbon neutral means having a net zero carbon footprint, or achieving net zero carbon emissions by balancing a measured amount of carbon released with an equivalent amount offset, or buying enough carbon credits (tradable certificate or permit representing the right to emit 1 tonne of CO2) to make up the difference.
United Nations Framework Convention on Climate Change issues carbon credit to ONGC• The Worlds number 2 exploration & production company ONGC is scoring well on environment performance as well. The United Nations body on Climate Change (UNFCCC - United Nations Framework Convention on Climate Change) has issued a massive kitty of 121,207 carbon credits to ONGCs 51 Megawatt Wind Power project at Bhuj (Gujarat), on 7th June 2012. This is the first issuance of credits from this project
SUMMARYA non-binding target has been given to India to cut itsemission intensity by 20-25% by 2020. This does notinclude agriculture. To meet this target and to adapt toclimate change without sacrificing growth, India hasarticulated the National Action Plan for Climate Change(NAPCC) with eight programmes
DID YOU KNOW ? ? ?About 65% of Indian population depends directly onagriculture and it accounts for around 22% of GDP.Agriculture derives its importance from the fact that ithas vital supply and demand links with the manufacturingsector
PROBLEM AREAS• Faster growth will raise energy demand by about five times, from 725 billion units now to 3,600 billion units by 2030• Energy is the biggest polluter, contributing greenhouse gas emissions (58%) industry (22%) agriculture (18%) Within energy, power generation by thermal stations is the worst polluter Land use, land use changes and forestry (LULUCF) is a net sink that sequesters carbon
• Within agriculture, livestock is the largest contributor of greenhouse gas emissions (63%), followed by paddy cultivation (21%). Agriculture contributes 90% to nitrous oxide emissions from fertiliser and irrigated paddycultivation.
SOLUTIONS We can cut farm emissions in many ways.• One, by changing paddy cultivation practices by intermittent drying, direct seeded rice and so on.• Two, changing livestock breeds or feeding practices with feed additives.• Three, through conservation agriculture.• And, four, site-specific use of nitrogen and nitrification additives.
IN MY OPINION !!!• Livestock is still a household activity, so there is little one can do to cut their emissions, but major reductions can come from shifts in paddy cultivation practices and cropping systems in Punjab, Haryana and southern India. This will require large-scale extension work, possibly through a tripartite agreement between farmer groups, state extension agencies and the private sector engaged in extension