Clean Development Mechanism Certified Emission Reduction

Expert Advice -

The Kyoto Protocol created the arrangement known as the Clean Development Mechanism.  This permits developed countries to receive carbon credits if they pay for emission reduction projects in developing countries where such projects are less expensive.  The key factor here is that for projects to count as offsets, instead of simply reductions, the projects could not have taken place in the course of ‘business as usual.’  In other words, if an emission reduction project is a good business deal, it may be beneficial, but it does not count as a carbon offset.  This property is known as ‘additionality’ because the projects take place in addition to emission reductions that would already have happened whether or not offsets were purchased.’s carbon offsets met the criteria for additionality as set forth in the Clean Development Mechanism.