The UN member countries in a convention held on climate change in Japan, in 1997, agreed to a treaty for controlling the emissions. It was named the ‘Kyoto Protocol’ from the name of the place where it was signed. As of now, 170 countries have committed to implement the Protocol. The only exceptions are Kazakhstan, Brazil, India, China and USA who are not bound by it.
The clearly defined objective was to achieve ‘stabilization of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system.’
The Protocol makes a distinction between the carbon dioxide produced naturally through respiration and decomposition and the one made by burning fossil fuel. The one that is caused by man is called anthropogenic. The emission of carbon dioxide from burning of fossil fuels for generating power or for making cement is not a natural process. It is caused by man. It is therefore anthropogenic. The Kyoto Protocol came into force on 16th February 2005. In terms of the Protocol, in a short period of five years from January 2008 to December 2012, the countries are required to reduce their greenhouse gas emissions to at least 5% below their 1990 levels. It is not an easy task. The production of the gases would have increased already from 1990 to 2007 and to roll it back seventeen years and further reduce by 5% is going to be very difficult to achieve.
But they have provided flexibility. The object is to reduce the global emission in totality. Therefore if a company could reduce it in a cheaper way than another, they could trade and benefit each other. The Kyoto Protocol has adopted a system of ‘cap and trade’ so that the companies can buy ‘carbon credits’ to offset against their emissions to comply with the reduction requirement. Carbon Credit Certificates are issued to the industries effecting reduction in the emission of carbon dioxide and other greenhouse gases by the UN agency. These Carbon Credit Certificates can be sold and cashed easily on the Stock Exchanges. Some of the polluting industries find it cheaper to buy these credits instead of reducing their own emissions. And so, the system is working. This has become a new business opportunity in the developing world as the mechanism provides easy financing of green projects. Many banks are buying the future Carbon Credit Certificates in advance at a discounted price to hasten the implementation of projects. But if a company cannot meet its target emission reduction, many countries have adopted a system of Carbon Tax to be paid in default of compliance. The money collected from the Carbon Tax would be spent on forestation and other schemes to offset the emissions.
Thus the polluting companies like coal based thermal power plants, which spew out thousands of tons of carbon dioxide, have 3 options: (1) reduce emissions to the required level, and or (2) buy Carbon Credit Certificates to purchase the emission savings and or (3) pay the Carbon Tax. The companies can adopt a combination of the first 2 to achieve the emission reduction compliance which is labeled as ‘carbon neutrality’. It’s now become a fashion for companies to advertise their carbon neutrality to boost their image with the investing public.
It is a wonderful idea! The work towards emission reduction has now got the carrot and stick policy. Reduce emissions and get rewarded or else pay tax. There will be definite action as the idea is backed with money. The industry will exploit the potential of earning Carbon credits and in the process help to reduce their emissions of the greenhouse gases. We must give kudos to those who thought of it.
But will it solve the problem of Global warming? eMaya the expert on Climate Control has done an extensive analysis and has found a solution how to stop Global warming notwithstanding the burning of fossil fuel. Read all about it in the book ‘eMaya’ which is available on Amazon, or you can see it at www.trafford.com/08-0434
What it means
The ultimate objective of the Kyoto protocol is to facilitate the reduction in emissions and ensure sustainable developmental projects in every country across the globe. Most CDM projects undertaken have resulted in significant reductions in emissions of carbon dioxide. The usage of carbon neutral fuel forms such as wood pellets is also largely encouraged. Unlike traditional sawmills which serve to produce large amounts of methane the wood pellets are clean fuel forms which again are in accordance with the norms stipulated in the Kyoto protocol. As far as local industries are concerned the traditionally used fossil fuels would be substituted by wood pellets. The local and small sized sawmills will also benefit from this protocol as they have been finding it difficult to dispose of their stockpiles. Of course the environmental hazards cannot be disputed which will be eliminated with this protocol.
Global consent
The Kyoto protocol seems to have met with worldwide acceptance especially amongst the developing countries. As per the UNFCCC which is also called the United Nations Framework Convention on Climate Change there have been more than 800 CDM projects enrolled for in over 48 nations and more than 1300 others are in progress. It has been anticipated that by 2012 year end more than 2 billions worth of carbon credit (weighed in tons) will be accrued. This figure is at par with the yearly emissions emanated from Russia!
How to reap the benefits
Nations who wish to maximize the advantages of CDM projects need to firstly verify the Kyoto protocol. They also need to set up a DNA or a designated national authority which corresponds to a ministry in the government. This organization will serve to approve all proposals regarding the CDM projects. There is also a sufficient amount of proof needed from the developing countries that in the absence of CDM projects more greenhouse gases will be emitted.
Global warming
The large scale global warming happening all across the world has led to more and more nations coming up with alternative fuel mechanisms. One such fuel is wood pellets and the Kyoto protocol hopes to leverage this fuel form to the maximum extent. Being both renewable and sustainable with zero carbon emission, this is being considered as the most ideal fuel form. Thus as part of its CDM or clean development mechanism the protocol hopes to ensure that more nations use clean forms while implementing industrial projects. The ultimate aim of the protocol is to reduce the overall greenhouse emissions and reduce carbon dioxide emitted into the environment. The end objective is to eventually slow the pace of climate change and ensure the world stays a cooler place in the years to come!
Both Dilip Dahanukar & Michael Beikircher are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Dilip Dahanukar has sinced written about articles on various topics from Computers and The Internet, Mobile Phone Reviews and Politics. The author Dilip Dahanukar studied engineering in India and management in the USA. He has rich experience in corporate management and finance. His interest in environment and computer possibilities has resulted in this book. Dilip Dahanukar's top article generates over 8100 views. Bookmark Dilip Dahanukar to your Favourites.
Michael Beikircher has sinced written about articles on various topics from Environment, Home Accessories and Politics. Michael Beikircher contact person for wood pellets at Beikicher Grunland GmbH, Lana, Italy. The offical website address is http://www.pelletdilegno.com.. Michael Beikircher's top article generates over 6600 views. Bookmark Michael Beikircher to your Favourites.