The United Nations plans to introduce a new market-based emissions trading scheme which would allow developed nations to buy credits from countries having vast stretches of rain forests. The UN hopes that the new scheme would help reduce deforestation and restore the depleting resource of rain forests.
Called the Reduced Emissions from Deforestation and Degradation, REDD, the emission permits would be traded in a way similar to the Certified Emission Reduction permits. The REDD permits would help raise funds for restoring the fast depleting rain forests in the African, South American and South East Asian countries and in return the developed nations would be able to achieve the set emissions reduction goals. The UN plans to include this scheme in the next climate treaty which would follow the Kyoto Protocol.
But there are several problems with the basic model of the REDD emissions credits which would work principally in the same manner as the Kyoto carbon credits scheme. UN administrators have themselves admitted that the current carbon emissions trading mechanism should be made more transparent and effective. In addition, global banking giants have also slammed the Clean Development Mechanism saying that it is plagued by unnecessary delays and bureaucratic hurdles. Read the rest of this entry »





