Carbon Credits

At Final Carbon, we focus on sourcing and developing Certified Emission Reductions (CERs) from emission-reduction projects in developing countries. 
The Australian Carbon market moves to a market based cap and trade system from July 2015. The market based system allows Australian businesses to buy international units from credible international carbon markets or emissions trading schemes in other countries. They will be allowed to use these units to meet some of their local obligations.

Certified Emission Reduction (CER)

Certified Emission Reduction  is a Kyoto Protocol unit equal to 1 metric tonne of CO2 equivalent.  CERs are issued for emission reductions from CDM project activities.  Two special types of CERs called temporary certified emission reduction (tCERs) and long-term certified emission reductions (lCERs) are issued for emission removals from afforestation and reforestation CDM projects.

Clean Development Mechanism (CDM)

The CDM is one of the "flexibility mechanisms" that is defined in the Kyoto Protocol. The CDM is one of the Protocol's "project-based" mechanisms and is based on the idea of emission reduction "production". The flexibility mechanisms are designed to allow Annex B countries to meet their emission reduction commitments with reduced impact on their economies.
The CDM allows emission-reduction projects in developing countries to earn certified emission reduction (CER) credits, each equivalent to one tonne of CO2. These CERs can be traded and sold, and used by industrialized countries to a meet a part of their emission reduction targets under the Kyoto Protocol. The purpose of the CDM is to promote clean development in developing countries. The economic basis for including developing countries in efforts to reduce emissions is that emission cuts are thought to be less expensive in developing countries than developed countries
. The mechanism stimulates sustainable development and emission reductions, while giving industrialized countries some flexibility in how they meet their emission reduction limitation targets.