The main criteria here is the likelihood that a company would shift its operations to a country outside of Europe because of
its emissions trading obligations (so - called «carbon leakage»).
Therefore, companies need a robust strategy to efficiently meet
their emissions trading obligations.
Not exact matches
Managing
obligations under the
emissions trading system is a challenge for many European businesses.
These offset types are both eligible to be converted to ARB compliance Offset Credits, which can be used by California entities to help meet their
emissions reductions
obligations in the Cap - and -
Trade Program.
New Zealand last month chose to align climate efforts with the largest emitters such as U.S. and China by taking its pledge under the United Nations Convention Framework, after passing changes to its
emissions trading scheme that critics including the Green Party said weakened its
obligations.
But SoCal Gas is under no such
obligation, because the Porter Ranch plume is comprised of «fugitive
emissions», which are «those
emissions which are unintentional and could not reasonably pass through a stack, chimney, vent, or other functionally - equivalent opening,» according to the California Air Resources Board (CARB), which oversees the state's cap - and -
trade system.
Regulatory approval of a fertilizer management offset methodology would enable GHG
emission offsets created by farmers to be sold to regulated entities with mandatory
emission reduction
obligations under the cap - and -
trade program.
To meet their
emissions reduction
obligations, regulated entities can reduce
emissions on - site,
trade emissions reductions achieved beyond the cap, or use
emissions reductions generated in the state from a wide variety of project categories, nine of which are cited ACR offset project types.
ROCs are eligible to be transitioned to Air Resource Board (ARB) compliance Offset Credits, which can be used by California entities to help meet their
emissions reductions
obligations in the Cap - and -
Trade Program.
In turn, the choice of a market regulation that relies on a financialized concept (
emissions trading) rather than a binding tax
obligation.
To enable
trading, rules are established that allow those entities with caps to meet their
obligations either by purchasing unneeded allowances from others that have caps, funding projects that reduce
emissions at places under the control of others, or purchasing off - sets created by carbon reduction projects somewhere in the world.
It will soon become intolerable for US and Australian firms to gain a
trade advantage because they do not face restrictions on their greenhouse gas
emissions similar to those from nations that are meeting their international
obligations.
European Union
Emissions Trading Scheme — a market - based «cap and
trade» system for GHGs adopted by European Union member states in January 2005 in advance of their
obligations under the Kyoto Protocol