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Carbon Credit – Advantages and Disadvantages

You are aware of what the Carbon Footprint is, and its effects are not just on our daily lives, but also on the entire world. But did you be aware that it is possible to purchase Carbon Credit to compensate for the carbon emissions that businesses and individuals emit?

Since it is the primary accountable gas in the imbalance of the Greenhouse Effect, we need to confront global warming and climate change, which are already, revealing their presence. If we don’t change our relationship to carbon, we’ll face an undetermined future.

In the belief that the quantity of carbon released into the atmosphere is a concern The concept of carbon credit was developed in 1997, and was based on Kyoto Protocol. Kyoto Protocol.

The plan was tied with the goal of reducing greenhouse gases. Countries were required to cut their carbon emissions by 5.2 percent, in comparison to the levels recorded in 1990 and also participate greater in the environmental concerns.

The objectives of nations and businesses must be developed to decrease carbon emissions without the requirement to purchase credits. Since the less purchase is required the lower the carbon emissions that is released into the atmosphere.

Learn more about carbon credits and their use as well as its benefits and drawbacks in this article.

What is the source of carbon?

Photosynthesis is the most well-known method of creating carbon. Living creatures absorb solar energy as well as carbon dioxide from atmosphere and convert this carbon dioxide to oxygen. Through breathing and decomposition of living creatures carbon dioxide is released as well.

Carbon is created by terrestrial, aquatic animal, and human beings. They produce it through the process of decomposition as well as through the use of fossil fuels like coal, oil, as well as natural gas. Additionally, carbon production occurs every day through pollution, deforestation, as well as fires.

What are the Carbon’s issues?

Carbon production began to become an issue due to the high volume of production. The process, which was supposed to be normal and healthy, was accelerated by human activity following the Industrial Revolution. This is why the amount of carbon dioxide in the atmosphere is now extremely harmful.

The emissions that are released into the atmosphere alter the natural process of warming that occurs on Earth. Instead of having a perfect climate change effect that is essential to ensure a stable temperature on Earth We must combat overheating since the greater concentration of gases that cause this hinders heat from radiating out into space.

The amount of greenhouse gases alters the entire ecosystem on Earth and causes global warming. Overheating can cause global climate change. The entire way we live our lives is dependent on the seasons, excessive or insufficient rain. Extreme cold and intense heat are a couple of details that totally alter the nature of life on Earth.

So, we are able to follow dramatic modifications like:

melting glaciers;
Droughts and floods;
loss of biodiversity;
volcanoes erupting, etc.

What exactly is Carbon compensation?

There are efforts to reduce carbon emissions. However, certain emissions are inevitable. However, they can be neutralized or compensated for by investing are made to reduce the amount of carbon released.

A carbon credit is equivalent to one tonne of carbon dioxide that is not released to the air. The price varies, and at present, in Brazil it is priced at R$2000. Countries can purchase and sell carbon credits, as do businesses. But this market shouldn’t be viewed as a solution to releasing carbon on a whim. In fact, it is the opposite.

Carbon compensation can be achieved by taking simple steps in daily life, like cutting down on energy consumption. Living a sustainable life can also be a method to offset carbon emissions, therefore you could:

selecting one or two days each week to not eat meat on a particular day;
Rethink the purpose of cars;
are conscious about their consumption
amongst others.

The changes that companies make on a daily basis have to be compared to the changes that are made by individuals.

Businesses must choose to invest in sustainable infrastructure, while also maintaining environmental awareness, and even encouraging employees to take environmental action. Additionally, they have to consider different forms of compensation, like purchasing carbon credits.

A different option for businesses is to promote planting trees and creating green areas. Individuals can also join this green movement and support organisations that promote sustainable practices. Compensation for carbon is a fact that should be considered by all to stop environmental degradation for the life on Earth.

Read our article What does a carbon footprint mean? and how it impacts your daily life. In it, you’ll discover more about carbon as well as the effects of carbon on your daily life. The book also contains details to help you reduce the emissions of greenhouse gases.

Who is able to neutralize carbon emissions?

The carbon emissions that are released can be offset through individuals and businesses.

It is becoming more popular for businesses to be involved in the process of neutralizing emissions and buying carbon credits. Many large multinational companies are involved in this process, such as Apple, Google, Microsoft, Mercedes-Benz and Unilever. Then, in Brazil, Natura put into the practice of its Carbon Neutral Program in 2007.

Companies are recognizing the link between environmental issues and economic growth. In addition to investing in green initiatives, they are also establishing carbon neutralization targets. Projects are as diverse as they can be, and could include:

Investment in renewable energy sources;
Zero waste
Create biodegradable materials
the creation of eco-friendly cars;
create a sustainable production chain;
in addition to.

Alongside the changes and actions that occur in the production process of businesses, some also are also involved in purchasing and selling of carbon credits which are now a brand new currency on the market for financial instruments. A carbon credit is equal to one tonne of carbon dioxide that has not been released into the atmosphere.

Countries are also part of this effort to reduce emissions. Like businesses, their actions have to be planned in a sustainable manner. Additionally, they are able to take part in the carbon credit market.

Benefits of Carbon Credit Carbon Credit

As mentioned earlier the carbon credit is equivalent to one tonne of carbon dioxide that wasn’t released to the air. Therefore, being able to purchase the credits is a benefit. A country or company who doesn’t see any other option to cut down on emissions sees a benefit by purchasing this credit.

For certain organizations, countries and businesses, the benefit is in the sale of carbon credits since they are organizations that can cut down on the use of carbon. This way, they increase their economic performance by leveraging the benefit of investing in the sustainable initiatives they create.

Carbon credits purchased by businesses who are eco-conscious can boost their image. Sometimes, the business is sustainable however there is some carbon can’t be stopped from releasing. In this instance the purchase of credit indicates how much the business is committed to promoting sustainable practices.

Carbon Credit has disadvantages. Credit

The biggest drawback of the carbon credit lies precisely within the carbon credit exchange market. Certain countries and institutions can take advantage of the market and continue to emit their greenhouse emissions. They don’t invest in measures to reduce emissions since they can purchase unlimited credits.

In this instance in this scenario, the reduction of one ton of carbon, which is 1 credit is not enough. Since, in reality, someone will make use of this ton and there will not be any reduction in emissions. This is one of the reasons why it creates a lot of controversy among the world’s leaders and environmentalists.

Carbon credit must be considered in a sustainable manner. Be aware that it’s an option for emergencies and not to rely on the notion that it has helped.

All of us must focus on the reduction of the greenhouse gases emissions. In this way, the world be able to reduce the negative effects caused by global warming.