1. Demystifying Carbon Credit
A Group 5 Presentation

2. Contents Voluntary Carbon Market Global Warming - Causes and Effects
Defining Carbon Credit
Kyoto Protocol
Flexible Mechanisms
Regulated Carbon Market
Regulated Carbon Market - Factsheet
Voluntary Carbon Market
Voluntary Carbon Market - Factsheet
Future Challenges

4. Causes of Global Warming

5. Effects of Global Warming
Increase in average atmospheric temperature
Rise in mean sea level
Abrupt weather change
More frequent heat waves and tropical cyclones

6. Defining Carbon Credit
A key component of national and international attempts to mitigate the growth in concentrations of greenhouse gases (GHGs). 
One Carbon Credit is equal to one ton of Carbon-dioxide equivalent.
There are two distinct types of Carbon Credit Markets: Regulated and Voluntary.

7. Kyoto Protocol An international environmental treaty .
Adopted on 11 December, 1997 in Conference of Parties to the UNFCCC (COP – 3).
Came into force on 16 February, 2005.
Establishes legally binding commitment for the reduction of greenhouse gases.
An international agreement between more than 170 countries.

8. Flexible Mechanisms

9. Annex 1 IET JI Annex 1 CDM non-Annex1 AAU $$$ ERU $$$ CER $$$
CER – Certified Emission Reduction
ERU – Emission Reduction Unit
AAU – Assigned Amount Unit

10. Regulated Carbon Market
Regulated Market
Allowances
AAU’s
EUA’s
Project Based Credits
CER’s
ERU’s

11. Regulated Carbon Market

12. Regulated Carbon Market

13. Carbon Credit Standards Carbon Neutrality Standards
Voluntary Carbon Market
Voluntary Market
Carbon Credit Standards
Allowances
CCX
Project Based Credits
Plan Vivo
CCBA
VCS
Gold Standard
VER
Carbon Neutrality Standards
CN Protocol

14. Voluntary Carbon Market

15. Voluntary Carbon Market

16. Increase In Carbon Market

17. Reuters CER Index
For the year 2009, the data is taken till 6th of July.

18. Future Challenges Challenges for organizations in Annex – 1 Countries.
Businesses turning into financially nonviable.
Carbon Liability becoming Carbon Opportunity.
Possibility of Carbon Tax for every corporate in future.

19. Thank You