The BM&FBOVESPA carbon market is an electronic trading environment developed for agile, secure and transparent trading within the ambit of the voluntary market, in credits that have been created by Clean Development Mechanism (CDM) projects.
Did you know?
- Convention stipulates that a ton of carbon (CO2) corresponds to a carbon credit.
- Humans emit 35.5 billion tons of carbon dioxide (CO2) into the atmosphere annually.
These are carbon credit markets whose rules are not binding or related to the targets and/or mechanisms established by the Kyoto Protocol.
What is Clean Development Mechanism?
The CDM is one of the flexibility mechanisms established by the Kyoto Protocol with the purpose of facilitating attainment of the targets for greenhouse gas (GHG) emission reduction that were defined for each of the ratifying countries. In short, the CDM proposal (described in Article 12 of the Protocol) states that each tonne of CO2 equivalents1 (tCO2e) which is not emitted or which is removed from the atmosphere by a developing country (non-Annex I) may be traded in the form of carbon credits in world markets, thereby providing an additional incentive to further the reduction of global GHG emissions.