Do you know about 'CARBON CREDIT' !!

          Do you know, as like the Money Credit and debit, very soon the companies will use 'Carbon Credit' also ? 

          Come and Let's overlook today ---

What is Carbon Credit ?

           A carbon credit is a tradable permit representing 1 tonne of CO₂ or equivalent Green House Gases (GHG) emissions reduced, removed, or avoided, functioning as a "permission slip" for a specific amount of pollution, with excess credits sold by low-emitters to high-emitters in cap-and-trade systems to incentivize overall emission cuts. 

           Governments set an overall emissions "cap" for industries, issuing credits to stay under it; companies exceeding their cap must buy credits from those who emitted less. 

           Companies buy "credits" to compensate for their own emissions, funding projects that reduce GHGs elsewhere. 

    1 Credit = 1 tonne of CO₂ equivalent (tCO₂e)

How it will be used ?

           Credits are generated by projects that reduce, avoid or capture greenhouse gases for example - planting trees, renewable energy, methane capture and so on..

           1 tonne of Carbon dioxide equivalent which standardizes different greenhouse gases based on their global warming potential. 

           They are bought and sold in regulated and voluntary markets, allowing companies to meet targets or offset their emissions. 

           It's whole purpose is to provide a market-based mechanism to control climate change by pricing carbon emissions and incentivizing reductions. 

Now the question is 

Who will issue that Carbon Credit ? 

            In India, the Central Government, through the Bureau of Energy Efficiency (BEE), oversees the issuance of carbon credits under the Carbon Credit Trading Scheme (CCTS), with the Ministry of Power defining the framework and the Ministry of Environment, Forest and Climate Change (MoEFCC) handling strategy, while entities like the Grid Controller of India manage registries, and the Central Electricity Regulatory Commission (CERC) regulates trading, issuing certificates for verified emission reductions. 

Now from environmental perspective 

How many trees we need for 1 Carbon Credit ?

             As I already mentioned, 1 carbon credit equals 1 metric tonne (1,000 kg) of CO₂, so for that the number of trees needed variation, but generally, it takes 30 to 46 mature trees to absorb that much carbon annually, or roughly 1 to 10 credits per acre per year, depending on species, growth, and location. A single mature tree might absorb around 22 kg of CO₂ yearly, meaning about 45 trees for one credit, but this is highly variable.  

            So, this is it all about Carbon Credit in this article, very soon we'll discuss some more topics in next articles. If you have any queries or feedback , message in the comment..