What are pollution credits?

Pollution loans, also known as emissions trading, are the technique of solving pollution in the open market. In a system that uses pollution credits, the government determines the total amount of emissions of a particular pollutant: for example carbon dioxide. Credits are distributed to companies that emit carbon dioxide in their daily operation. If the company maximizes efficiency and does not use all its credits, it can sell the creditors of the company that exceeds its number of credits. In this way, the overall limit of emissions can be maintained, while strongly polluting companies are basically fined, while energy effective are rewarded. It is also a more efficient system than government regulation; Rather than trying to shelves, every punch can focus on the polluting society can focus on determining the ceiling and meeting this goal and hopefully it will also reduce it over time. Regular inspections of companies with credits of pollution may ensure complianceSun and many environmental organizations have voluntarily participated.

In addition to being used by manufacturers and large companies, consumers can also use pollution credits to balance their energy use. Many consumers who are worried about climate change have decided to buy credits of pollution in the form of carbon compensation. When consumers buy carbon compensation, companies apply to the use of cleaner energy, plant trees or invest in clean energy, compensate for their own generations of pollutants in cars and on the plane. In essence, the consumer can reduce his carbon emissions to "zero" by purchasing carbon offset. Companies that are worried about their environmental impact can also re -redeem carbon compensation in order to reduce their clean loads of emissions.

As part of the Kyoto Protocol, some nations are already involved in the credits of pollution credits all overthe world. Unfortunately, because the United States is not a signatory, the credits of pollution credits are not nearly as effective as it could be, as the United States generates approximately 25% of pollution around the world. Efforts in the United States to determine and encounter ceilings by credits of pollution are currently held only at a small local level, although there are indications that the idea is growing in popularity. In Europe, it seems that credits with pillows work in a short -term horizon, but critics are curious about long -term trading, especially when the ceiling decreases every year. Pollution credits will only go as far as companies are not willing to radically change the way they do business.

We hope that the use of pollution credits will help the country to achieve pollution goals. Once the nation manages this, achieve a regulated level of emissions, this level can slowly reduce and encourage companies to invest in cleaner energy and reduce the amount of pollutants they create. Even ifThis process can be slow, hoping that economic motivation provided by loans for pollution will encourage society to think from the curve and reduce their energy use now, because pollution credits will become a yield over time when the caps will be further reduced.

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