Carbon Credit Industry ‘Contaminated’ By Incompetence, Rule-Breaking, Fraud

June 4, 2007

Email this story Print this post Add your comments

The Clean Development Mechanism, which is supposed to offset greenhouse gases emitted in the developed world by selling carbon credits, has been “contaminated by gross incompetence, rule-breaking and possible fraud by companies in the developing world,” The Gurdian reports.

One senior figure suggested there may be faults with up to 20 percent of the carbon credits already sold. Since these are used by European governments and corporations to justify increases in emissions, the effect is that in some cases the process has added to the net amount of greenhouse gas in the atmosphere.

Most of the concern is around the CDM test of additionality – proof that a project is delivering cuts in greenhouse gases that would not otherwise have happened. A BusinessWeek article in March pointed to the same problem on a smaller scale.

Errors include “conjuring up numbers when projects on the ground failed to provide them; giving a green light to commercial projects which make no contribution to reducing greenhouse gases; and approving existing projects which cannot claim to be part of the drive to cut emissions.”

Email this story Print this post Add your comments

Advertisers

Enhance Sustainability. Improve Profitability.

Learn how at the SAP Sustainability Resource Center. >>

Unclear about the EPA's new GHG Rule?

Learn how it could affect your business. >>

EPA mandatory emissions reporting starts Jan 1st

CSA Standards can help your organization get ready for compliance. Find out how. >>

Survey Results: Product Environmental Compliance Best Practices

How to achieve compliance at a significantly lower cost. Download the full report. >>

Join the Discussion

Recent Daily News [ see all ]

11/20/2009
11/19/2009
11/18/2009

Charts [ see all ]

European Paper Industry Cuts CO2 Emissions by 42% since 1990

S. America Takes Most Urgent View of Copenhagen Talks

Nike Tops Annual Climate Action Scores

Oceans May Trap more Carbon than Forests

Jobs

View All Jobs >> Post a Job >>

Comments and Discussions

Trade Association on Trade Group on EPA Chemical Regs: ‘If Everything is a Priority, Then Nothing is a Priority’
"Seriously… that..."

Gary Markowitz on Supermarkets Tackle Emissions Reductions, Fuel Efficiency
"Supermarkets waste over 10 percent of their energy through improper..."

peter in ireland on Ontario May Follow California’s Lead on TV Energy Efficiency
"Governor Schwarzenegger is shooting himself in the foot! 1...."

Environmental Leader on S. America Takes Most Urgent View of Copenhagen Talks
"The survey respondents (the PDF report mentions 4,000 respondents in 38..."

Jake on UPS Trying New Hydraulic Hybrid Trucks
"A point of clarification: the Reuters press release referenced herein reports that 20 UPS will purchase..."

Custom Organic Shirts on S. America Takes Most Urgent View of Copenhagen Talks
"90% of North Americans believe it is urgent to get a global climate..."

peter dublin on California City’s Green Building Ordinance Applies to Commercial Buildings
"Why energy efficiebnt regulation on buildings –..."

Environmental Leader