International Emissions Trading

E449679

International Emissions Trading is a market-based climate policy mechanism that allows countries or entities with surplus greenhouse gas emission allowances to sell them to those exceeding their emission limits, thereby promoting cost-effective global emissions reductions.

All labels observed (5)

How this entity was disambiguated

Statements (48)

Predicate Object
instanceOf carbon market mechanism
environmental policy instrument
market-based climate policy mechanism
aimsTo equalize marginal abatement costs across participants
minimize overall cost of meeting emission reduction targets
allows countries exceeding their emission limits to buy allowances
countries with surplus emission allowances to sell them
associatedWith Article 17 of the Kyoto Protocol
canInclude linking of national or regional emissions trading systems
canLeadTo carbon leakage concerns if poorly designed
complements Clean Development Mechanism
Joint Implementation
contrastedWith carbon taxes
command-and-control regulation
covers carbon dioxide
fluorinated gases
methane
nitrous oxide
creates price signal for emissions reductions
criticizedFor complexity of rules
market volatility
potential overallocation of allowances
dependsOn credible enforcement of emission limits
robust emissions accounting rules
encourages emissions abatement where it is cheapest
evolvedUnder United Nations Framework Convention on Climate Change
governedBy international climate agreements
hasBasisIn cap-and-trade principle
hasPurpose promote cost-effective global greenhouse gas emissions reductions
implementedUnder Kyoto Protocol
influenced European Union Emissions Trading System
design of regional emissions trading systems
involves countries
regulated entities
trading of greenhouse gas emission allowances
isComponentOf Kyoto flexible mechanisms
international carbon market
operatesAt international level
relatesTo carbon pricing
climate change mitigation
greenhouse gas emissions
requires international cooperation
monitoring reporting and verification of emissions
national emissions caps
national registries for emission units
subjectTo negotiation in international climate talks
usesUnit AAUs
Assigned Amount Units

How these facts were elicited

Referenced by (6)

Full triples — surface form annotated when it differs from this entity's canonical label.

Kyoto Protocol establishesMechanism International Emissions Trading
Assigned Amount Unit usedInMechanism Kyoto Protocol cap-and-trade system
linked to: International Emissions Trading
Clean Development Mechanism relatedTo International Emissions Trading
Annex B of the Kyoto Protocol associatedWithMechanism Kyoto flexibility mechanisms
linked to: International Emissions Trading
Meeting of the Parties to the Kyoto Protocol overseesMechanism International Emissions Trading under the Kyoto Protocol
linked to: International Emissions Trading
California Air Resources Board implements Cap-and-Trade Program for greenhouse gases
subject linked to: CARB
linked to: International Emissions Trading