cap and trade

Cap and Trade is a market based policy tool, which sets a cap on the amount of emissions from a group of sources with the end goal of reducing the overall pollution in a nation, region, or industry.

The intention is to incentivize a reduction in emissions and penalize those who don’t comply. Participants in Cap and Trade receive allowances and can design their own compliance strategy giving them flexibility to sell and purchase emissions, in addition to other methods in order to comply with total allowances limited by the cap.

This system is a popular option used to reduce emission of pollutants, most notably green house gases. It operates similarly to a stock market in which the benefit of the system goes to the nations, regions or industry that are able to reduce their emissions through its use.

Cockenzie Power Station

Global Carbon Trading Takes a Big Step Forward

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Texas Climate & Carbon Exchange Opens for Global Trading

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How a Cookstove Becomes a Carbon Credit

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The "Duke Energy" Power Plant's famous three smoke stacks in Mor

California and Quebec Will Link Cap-and-Trade Programs

The California Air Resources Board (CARB) announced last week that California's cap-and-trade program will be linked to Québec's cap-and-trade scheme.
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Korea Will Launch Cap-And-Trade in 2015

Last week the South Korean National Assembly passed legislation to start a cap-and-trade system by 2015 to reduce greenhouse gas emissions and increase…
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Shell Touts Communities, Environment in Recent Sustainability Report

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Mexico to Pass Climate Law

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Food & Water Watch Takes a Hard Look at Market Self-Regulation

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Chinese Clash with EU Over Carbon Regulations for Airlines

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Report Shows Success of Mandatory Cap and Trade Program

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California Finalized Details of Its Cap-and-Trade Program

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Carbon Financing Program Provides Clean Drinking Water in Kenya

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European Airlines Add Voice to Fears Over Europe’s Cap and Trade Program

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