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Emission Credits

Emission Credits are created under the Kyoto Protocol through the reduction of emissions by an existing emitter or by processes that offset potential emissions. They are the practical application of humanity's desire to create an economic model that rewards the developers of clean sources of energy and penalizes those who create emissions that contribute to rapid climate change.

The Kyoto Protocol became international law on February 16, 2005 and its effects are beginning to be felt around the World, and will continue over the next 7 years and beyond. Slow implementations of national registries, National Allocation Plans, and many other mechanisms by national governments is changing, and the Kyoto Protocol has begun to develop a momentum all its own.

Greenhouse Gas Emissions are a standardized, global commodity, and Emission Credits are rapidly becoming a global currency. Emission credits only exist as an electronic certificate in a registry. Before GHGx, only a few web-based postings of price were available, or an 'open-cry,' bilateral exchange was conducted. As the graphic above illustrates, we have taken a major leap forward by harnessing the power of the Internet to create a global, online, real-time exchange available to trade greenhouse gas emission credits 24/7/365.

A recent report from KWI Consultants & Engineers stated:

Core to the growth of a successful global emissions trading market is the ability to ascribe values to the different stages of energy production – the energy value chain. The importance of the value chain is that the worth of the different energy products can be optimized against the market.

In very simplistic terms the energy value chain is the process by which the primary natural energy sources such as oil, gas and coal are explored and refined to produce the energy products required by industry and consumers. A by-product of this process is emissions.

If you look at the development of trade in energy products from oil through to emissions, it becomes clear that the evolution of the market in emissions is the final stage in a cycle that began with oil being traded at a global level, followed by the creation of local markets in gas and even more localized markets in electricity through to the new global market in emissions.

GHGx is the solution to the challenges of the global emissions market.

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GHGx Corporation - Greenhouse Gas Exchange
Global Emissions Trading for a Brighter Future™

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