Carbon Credits

Carbon credits are tradable certificates that represent the reduction or removal of one ton of carbon dioxide (CO2) or its equivalent in other greenhouse gases. They are used to offset emissions by investing in projects that reduce carbon footprints, such as reforestation, renewable energy, and energy efficiency projects. Companies and individuals buy carbon credits to compensate for their emissions and achieve carbon neutrality. Carbon credits are a key component of carbon trading systems aimed at reducing global greenhouse gas emissions.