Tuesday, March 18, 2008

A new economy of carbon

As the prices of different commodities are going up, something that would change the world economy is being sprouted by the world leaders and that is the Carbon market. In years to come the Carbon emissions will be a main factor that determines the prices of everything that is being traded. So when the word "carbon" is being given a solid shape what are we doing ?

The answer is just simple, find a business in the word "carbon". Many companies are being setup which just handle the trading of carbon. As many global giants from different fields are being increasingly held accountable for the amount carbon they emit, it is necessary to find a solution to calculate,reduce and then nullify their green house gas emissions. The reduction and nullifying is together called as carbon offsetting. Now the other question is how does a organization offset it's carbon emission ?

  • Switch to green energy source. If they can't do it at the source, do it somewhere else
  • Invest in carbon sinks, the only known carbon sink (luckily for us) are trees.
Now when large corporations are responsibly offsetting their carbon emissions through accountable firms like carbonneutral and using mechanisms like CDM and VCS, we as individuals have a much simpler solution and costs much lower, Just find a ethical offsetting company and plant trees through them, whether offsetting your long drive or offsetting your flight trees a prefect way to do so.

Do you think offsetting is a solution to all the problems ? Well the answer is NO. Carbon Offsetting comes only after you reduce your emissions. The above systems works well but not under voluntary basis, it works well only when the "Carbon money" is part of the main economy as carbon taxes. But in India we have a long way to go, first we have to pay our taxes !!!!

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