An brief introduction to carbon credits and also its history and its use. Also brief introduction to the concept of green finance what it is and also glimpse of its used in the field.

1. CARBON CREDIT AND GREEN
FINANCE
Akshay Patane

2. WHY CARBON CREDIT
 To reduce global warming and climate change

3. KEY WORDS FOR CARBON CREDIT
 Permission
 License to trade
 Another common term

4. FEATURES OF CARBON CREDITS
 Individual benefits
 Buying greenhouse gasses
 Business and job opportunities

5. KYOTO PROTOCOL
 The Kyoto Protocol is an international agreement
linked to the United Nations Framework Convention
on Climate Change, which commits its Parties by
setting internationally binding emission reduction
targets.
 The Kyoto Protocol was adopted in Kyoto, Japan,
on 11 December 1997 and entered into force on 16
February 2005.
 The Only Nations That Haven't Signed 1997's
Global Climate Treaty are Afghanistan, Sudan & the
U.S.A.

6. KYOTO PROTOCOL
 Countries were divided into three categories
 Annex 1 : comprise of 41 countries , the target
specified is to reduce GHG emission from 1990
level by 5.8%
 Annex 2: comprise of 21 countries . They have
additional target of reducing GHG emission in
developing countries
 Non annex 1 : comprise of 145 countries , which
don’t have any target but have to reduce the carbon
emission.

7. CHARACTERISTICS OF THE KYOTO PROTOCOL
 UNFCCC(United Nations Framework
Convention on Climate Change)
 Cap-and-trade
 AAU’s(Assigned Amount Unit)
 Trading targets
 Two flexible mechanisms

8. HOW DOES CARBON CREDITS WORK?

10. GREEN FINANCE
What is green finance ?
• When financial activities are under the
consideration of environmental factors, and
somehow involved in operations which are aimed to
improve the environment is called Green Finance.

11. HOW DOES IT WORKS ?
 Green finance is providing its Product and Services
to promote environmentally responsible investment
and stimulate low-carbon technologies, projects,
industries and businesses by financial activities like
: investment, Lending decision, Risk management
processes etc.

12. GREEN FINANCE OBJECTIVE
 Green finance is to promote Global Green
Growth through the harmony between the
economy and the environment :
 To achieve the goal of a low carbon economy.
 To promote green industry.
 Environmental pollution prevention projects.
 Renewable energy development projects.

13. USES OF GREEN FINANCE
Developing economies comprise a large and diverse
group whose financial systems have grown in
importance over the last decade.
 The major emerging countries practicing Green Finance
:
 Argentina
 Brazil
 China
 India
 Indonesia
 Saudi Arabia
 While Singapore, Egypt, Laos and Kazakhastan are also
in process of participating Green Finance by 2020.

14. GREEN FINANCE
 Sustainable
environment and
valued natural
resources.
 Social development
and quality of life.
 Clean energy and
climate action.
 Ultimately Green life
 Risk is too high
 Payback period is too
long
 Profitable projects are
lacking
 Transaction cost is high
 Lack of knowledge and
leadership.
Advantages Disadvantages

15. GREEN FINANCE IMPACT
 Improvised work field
 Increase the reputation
 Long term
sustainability
 Attract potential
investors
 Long term benefits
 Environmental friendly.
Internal External

16. THANK YOU