Greenhouse–gas–trading markets

Abstract

This paper summarizes the extension of new market mechanisms for environmental services, explains of the importance of generating price information indicative of the cost of mitigating greenhouse gases (GHGs) and presents the rationale and objectives for pilot GHG–trading markets. It also describes the steps being taken to define and launch pilot carbon markets in North America and Europe and reviews the key issues related to incorporating carbon sequestration into an emissions–trading market.