Carbon Trading
The leading model for a voluntary carbon trading market is the Chicago
Climate Exchange (CCX). In this model, green house gas offsets are aggregated
to the point where they can be traded as a financial stock regulated by the
Chicago Climate Exchange. Regulation is achieved by ensuring that offset
suppliers sign contracts detailing the specifics of their sink and agreeing to
a set of mutual obligations between the Chicago Climate Exchange,
Aggregator, and Carbon Offset Suppliers.
The Green Investment Network is not a regulated carbon trading system
like the Chicago Climate Exchange. Investors are required to perform their
own due diligence on the carbon offset proposals submitted by entrepreneurs.
This lack of regulation has both positive and negative aspects. A negative
aspect is that you must be more diligent about your carbon credit
investing because no securities commission is doing that work on
your behalf. A positive aspect is that less regulation should encourage
broader access to the carbon offset market by qualified offset suppliers
discouraged by the regulatory hurdles and hierachical system
associated with the CCX model of carbon trading. The Green
Investment Network aims to connect carbon offset suppliers directly with
carbon offset investors.
We endorse many of the due diligence processes developed by the
Chicago Climate Exchange and encourage entrepreneurs and investors
to review their Offset Project Registration and follow it in
spirit if not in detail in your business negotiations. The IOWA Farm Bureau also
offers practical offset contract templates
and information.
The Green Investment Network caters to carbon offset investors via our
carbon offset investment categories. The Kyoto protocol also suggests
that investments in other sectors of the green economy can serve
as an offset for excessive green house gas emissions. Our
alternative energy, energy efficiency, environmental tech, reducing emissions,
and green project sectors may also contain projects you can invest in to
voluntarily offset excessive green house gas emissions.
|