Carbon Emissions Trading – Need, Working, Pros, Cons, Alternatives

Carbon emission trading is currently one of the popular approaches used by policymakers to mitigate climate change. However, there is a growing number of cases of countries or private players exploiting the flaws or loopholes that exist within this mechanism. Reforming to address these gaps also seems to be a difficult feat as there are interferences from powerful players involved in pollution, making it highly unreliable. Thus, there is a need for a new approach, the one that comprehensively addresses the existing limitations and transparently reduce emissions while also promoting the inclusive economic growth of the countries.

What is carbon trading?

• Carbon trading or carbon emissions trading is a market-based system