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Carbon Trade
(redirected from Emissions trading)

   Also found in: Dictionary/thesaurus, Acronyms, Encyclopedia, Wikipedia 0.12 sec.
Carbon Trade
A market proposed by the Kyoto Protocol in which each country participating receives a limit on the carbon emissions it and companies operating in it are allowed to produce. Countries (and/or companies) may buy and sell the emissions limits assigned to them. Carbon trade is intended to be an attempt to reduce overall carbon emissions while still allowing companies that may have difficulty doing so to have an outlet for transition. It is also called cap and trade or emissions trading.


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The European Union's executive arm approved plans on Wednesday to include aviation in its emissions trading system, giving international flights in and out of the EU a one-year reprieve before they have to join.
Emissions trading allows nations to take advantage of lower cost strategies, with a dual benefit of placing less of a burden on the economy and at the same time achieving the important goal of reducing the overall global emissions.
Initial coverage will include: the European Union carbon market, Brussels policy, and individual member countries' National Allocation Plans; the EU Emissions Trading Scheme; the Kyoto protocol; the U.
 
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