The Golden State instituted a program to reduce carbon emissions to 40% below 1990 levels (the cap), by providing carbon credits to account for those excess carbon emissions (the trade). Economists worried that the job loss associated with industries with excess carbon emissions would not be offset by increasing jobs in “green” industries. A new study reports mixed results.
Carbon credits
Carbon credits are tradable certificates entitling the bearer to emit one metric ton of carbon dioxide or its equivalent. In 2018, 98.4 million metric tons of CO2 (MgCO2) were marketed for a value to the seller of $296 million. A third of those credits were generated by a program called Reducing Emissions from Deforestation and Degradation (REDD+). Does this market solution reduce our carbon footprint, or are we looking at something Bernie Madoff or Sam Bankman-Fried might be offering?
The recent international climate summit involved 40,000 individuals coming to Glasgow from around the world. The Brits have calculated the carbon footprint of the meeting on carbon footprints.