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Term Carbon credits

International mechanism which seeks to reduce emissions of greenhouse gases (GHGs) that increase the normal greenhouse effect and contribute to global warming. It is one of the proposals of the Kyoto protocol, which enables the developer of a project to earn additional income by selling the emission reductions that said project achieves to international markets.

GHG emission reductions are measured in equivalent tons of CO2 and result in reduced emissions certificates (RECs). One REC equals one ton of CO2 that is no longer released into the atmosphere and can be sold in the carbon markets of industrialized countries. Examples of the types of projects that are eligible for these credits are: generation of renewable energy, projects for the improvement of energy efficiency, reforestation, cleaning of lakes and rivers, and sanitary landfills.

Topic  Forest resourcesLegal and Institutional