We’ve been familiar with market based trading schemes for emissions such as sulpher dioxide and CO2, but here’s something I hadn’t head of before – Water Quality Trading. The concept, like airborne emissions trading, is to find an efficient and cheap way to improve water quality in a given watershed. If a company faces high costs to reduce their pollutants, they can pay a more efficient company to reduce their pollutants instead, resulting in essentially the same thing. Like a CO2 emissions cap, a given watershed can have a goal established that all polluters in the watershed must achieve together. For more information check out this 120 page handbook put out by the EPA.
This was brought to my attention by a nifty new green blog – the Green Wombat.