Emissions leakage occurs when sources outside of a carbon pricing system increase economic activity and associated emissions as a result of that system.
Not exact matches
First, it assumes no
leakage from potential storage reservoirs, which, if it
occurred, would increase the amount of negative
emissions needed to stay within budget for 2C.
Leakage also refers to GHG - related effects of GHG -
emission reduction or CO2 - sequestration project activities that
occur outside the project boundaries and that are measurable and attributable to the activity.
Carbon
leakage may
occur through changes in trading patterns, and that is sometimes measured as the balance of
emissions embodied in trade (BEET).
However, a negative
leakage (i.e.,
leakage having the effect of reducing
emissions) could also
occur due to a lowering in demand and price for oil and gas.
Fugitive methane
emissions occur at every stage of the natural gas life cycle; however, the total amount of
leakage is unclear.
The projects only create offsets if three things
occur simultaneously: firstly the project has to be one that would not have gone ahead without the offset funding («additionality»), secondly the project must not create increased
emissions anywhere else in the world («
leakage»), and thirdly the
emissions reductions must not be counted more than once («double counting»).