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Carbon Market Rates as on 20/06/2008
Product
Futures
Price
CER DEC'08€20.21
EUA DEC'08€27.41
(source: NordPool)


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GHG

Following are the 6 GHGs idendified under the Kyoto Protocol:

  • Carbon Dioxide
  • Methane
  • Nitrous Oxide
  • Perfluorocarbons
  • Hydroflurocarbons
  • Sulphur Hexafluoride
  • One Carbon Credit is equivalent to One tonne reduction of Carbon Dioxide from the atmosphere. All the GHGs have a Global Warming Potential associated with them eg. Carbon Dioxide has a GWP of 1 and therefore all GHGs have different values in terms of carbon credits hence, 1 tonne of Carbon Dioxide is equvalent to 1 carbon credit.

    Similarly other GHGs have their GWPs:

  • Carbon Dioxide = 1 GWP
  • Methane = 23 GWP
  • Nitrous Oxide = 296 GWP
  • Perfluorocarbons = 11,000 GWP
  • Hydroflurocarbons = 11,000 GWP
  • Sulphur Hexafluoride = 22,200 GWP
  • Therefore, 1 tonne of sulphur hexaflouride reduction is equivalent to 22,200 Carbon credits.

    CO2 and CH4 are emitted into the atmosphere from many different sources including:

  • Landfill waste disposal sites
  • Power generation
  • Transportation
  • Natural gas flaring
  • Coal mines
  • Gas distribution networks
  • Animal and human waste
  • Nitrous Oxide is produced in the production of Adipic Acid and Nitric Acid – used in the production of nylon and fertilizers.

    Fluorocarbons are released in the production of:

    Landfill waste disposal sites

  • refrigents
  • aerosols
  • fire retardant foams
  • aluminium
  • semi-conductors
  • Sulphur Hexafluoride is emitted in the production of magnesium and electrical insulation materials.