CARBON BANKING AND KYOTO PROTOCOL

Mulund College Of Commerce

FY_BMS ‘A’

GROUP MEMBERS :

GLOBAL WARMING :

Increase of Earth's average surface temperature due to effect of greenhouse gases.

Tom Wigley in 1998 reported research showing that adherence to the Kyoto Protocol alone, without subsequent action, would have a minimal impact on global warming.

CARBON BANKING:

International effort to reduce carbon gas emissions (Carbon dioxide, Methane, CFC's etc) which may contribute to global warming.

An industrialized nation may produce more than its share and a less developed nation may be provided incentives for not destroying its rain forests such as food aid and so on, since plant life, and especially the very rich plant life of the tropical rain forests removes carbon dioxide from the air by photosynthesis.

According to one study, 60-70% of Green House Gases emission is through fuel combustion in industries like cement, steel, textiles and fertilizers.

These gases are released as by-products of certain industrial process, which adversely affect the ozone layer, leading to global warming.

So ,to make carbon emissions neutral in the world, carbon offsets was vital.

Because of ignorance of human beings, different countries across the world formed and decided to reduce this emissions and it was known as Kyoto protocol.

Kyoto protocol gave rise to Carbon Banking.

This is the facility given by an Organization working in common within the world. It enables different countries for trading of carbon.

A target is decided in the meet between various countries.

For example, America scores high in emitting carbon whereas Japan is below the target. So Japan can purchase carbon emissions from America. This transaction of selling and purchasing carbon emissions in order to reduce increasing global warming, is known as Carbon banking.

CARBON TRADING

Carbon emissions trading is a form of emissions trading that specifically targets carbon dioxide (calculated in tonnes of carbon dioxide equivalent or tCO2e) and it currently constitutes the bulk of emissions trading.

INTERNATIONAL CARBON BANK AND EXCHANGE :

•The ICBE is a service provider in the greenhouse space, with experience in IT, academia, consulting, verification, certification, project development, buying and selling of tons since its inception in February of 1998.

•The primary web product provides individuals and organizations the ability to profile greenhouse gas emissions in a bank-like environment. Clients can then use their account to manage emissions, establish baselines, and submit reductions.

•The ICBE also assist clients with organizing their emissions information, after which the information can be used forreporting purposes. Verified reductions may also be banked,retired, or made available to consumers under the nameClimateSafe and to industry at the CarbonExchange.

KYOTO PROTOCOL :

More than 140 countries across the world , marked one of the first and the largest international treaties in response to increasing global warming.

This treaties were signed in Kyoto, Japan

Hence the mission was named as ‘KYOTO PROTOCOL’.

The main goal, among others, of the Kyoto Protocol was to create a legally binding document that would commit industrialized countries to lowering carbon emissions by 5.2% below 1990 levels

American leaders have continually stated that the Kyoto Protocol could harm the American economy, cost American jobs, and decrease productivity by up to ten percent by 2010, hence they refuse to retify the treaty.

By not participating in the treaty, the US is denying responsibility for a problem they helped to create, weakening their ties to other countries that have ratified the treaty, and ultimately causing itself more harm than good.

The effects of global warming will eventually cost America millions in damage relief, international aid, and more expensive natural resources

Another criticism of the Kyoto Protocol is that it does not require developing countries to lower their carbon emissions.

China, now the largest emitter of carbon, is not bound by the Kyoto Protocol to reduce production of carbon dioxide. They are, however, able to take advantage of the funding provision, which states that the group of developed countries must economically help developing countries tackle climate change.

India, also a large contributor to global carbon emissions, is under no legal agreement to reduce their levels of emissions.

In the end, the Kyoto Protocol is ineffective in legally binding the countries that produce more than 40% of total carbon dioxide emissions worldwide.

Considering the fact that the emissions of both China and the United States increased in the past decade while the emissions of other countries decreased, it seems as though a legal document is necessary in order to actually make progress in reducing global carbon emissions ("Kyoto Protocol...").

REFERENCE

1.Google2.Wikipedia3.Environmental Management - P.G.Shinde4.Environmental Management – H.V.Jadhav