New Delhi: For almost two months after the Countries at the Climate Conference (COP26) in Glasgow approved new guidelines to improve the global carbon market, the UN Climate Change Agency has handened hands with AirCarbon Exchange (ACX), fully digital first in the world of carbon exchange, for Promote carbon balancing through emissions reduction.
This partnership will allow ACX clients to buy and retire emissions credits known as ‘Certified Emissions’ (CERS) for their carbon balancing purposes.
CERS is an emission reduction unit originating from valuable projects located in developing countries, including India, under the Net Development Mechanism for UN Climate Change (CDM).
CDM allows emissions reduction projects in developing countries to get CR credit, each equivalent to a ton of CO2.
This CER can be traded and sold, and is used by industrialized countries to fulfill the part of their emission reduction target.
ACX, the central market for carbon credits, will be the first exchanges in Asia for a CER list held in the CDM registry – a database that holds and tracks CER, including their retirement.
“When countries begin to implement Paris carbon agreements, this arrangement will enable early drivers to appreciate projects that have been going on with the UN CDM.
By offsetting emissions through CDM projects that have a period of sustainable credit, investors can support the success of transitions from projects The Era of Paris (agreement), “said James Grabert, director, the mitigation division at the UN framework convention on climate change (UNFCCC).
In Glasgow, the countries in November last year approved guidelines for Article 6 (carbon markets) of the Paris Agreement on climate change which will be submitted under the framework for countries to exchange carbon credits and will provide market access to all countries who wants to attract green investment through the global carbon market.