You must have heard of the term “Carbon Credit”, right? Why, it is one of the most pronounced terms in today’s time, when Global Warming has become such a huge menace for all of us.
But what exactly is meant by “Carbon Credit”? If you just have a sketchy idea, and not a concrete one, then please permit me to offer a brief explanation.
Carbon Credit is basically the monetary reward that a country or organization gets for reducing its Carbon Emission. There is a reward of one (1) unit of Carbon Credit for the reduction of every metric ton of CO2. And the monetary value of every unit of Carbon Credit is, as of today, approximately 12 Euros (the value may change in the future).
In a nutshell, a country or an organization can get around 12 Euros for every metric ton of CO2 that it will manage to reduce.
I got this explanation of Carbon Credit from my good colleague and friend Mr. LS, an expert on Forest and Environment Management. In case you find anything wrong in the information, please rectify me.