Greenhouse Gas Emissions


The United Nations Framework Convention on Climate Change ("UNFCCC"), the Kyoto Protocol and subsidiary agreements (namely the Marrakesh Accords) have established a new legal framework of rules governing the global reduction of greenhouse gases and the creation and trading of legal rights derived from the reduction, abatement or sequestration of greenhouse gas emissions.

Greenhouse Gas

A greenhouse gas is defined as one or more of the six gases listed in Annexure 1 to the Kyoto Protocol that trap heat when released into the atmosphere. These include:

  • Carbon Dioxide (CO2)
  • Methane Nitrous Oxide
  • Ozone
  • Hydrofluorocarbons (HFCs)
  • Perfluorocarbons (PFCs)
  • Sulfur Hexafluoride (SF6)

All the above gases occur through natural and human-induced activities.

GHG reduction relates to the reduction in emissions of greenhouse gases or unit of sequestered greenhouse gases equivalent to one metric ton of carbon dioxide.

Under the Marrakesh Accords, a transaction log will be established by the Secretariat to the UNFCCC to verify the validity of all transactions involving Kyoto Protocol rights including CERs within or between registries (including between a national registry and the CDM registry). The log will cover the issuance, transfer, acquisition, cancellation, retirement or carry-over into the next commitment period of any Kyoto Protocol rights.

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