going green
The Kyoto Protocol, established in 1992, is an international agreement designed under the United Nations Framework Convention on Climate Change (UNFCCC) which legally bounds industrialized countries to achieve about 5,2% greenhouse gas (GHG) emission reductions from 1990 levels in the commitment period 2008-2012.
The Clean Development Mechanism (CDM) is one of the flexible mechanisms designed y the Kyoto Protocol to achieve these targets in financing emission reduction projects in developing countries, in exchange for carbon credits. This concept enables the bringing together of sustainable development, technology transfer as well as foreign investment into the country.
Carbon Credits, also known as a Certified Emmision Reduction (CEM) is an environmental commodity equivalent to one ton of CO₂ emission reduction
carbon finance
The phenomenon of Global warming from GHG (Green House Gas) emissions, which has been documented by Scientists and Environmentalists, has been accepted internationally by Governments who now collectively agree to take action to reduce the current rate of Carbon Emissions.
The UNFCCC (United Nations Framework Convention on Climate Change) summit at Kyoto, Japan in 1997 (the Kyoto Protocol) and subsequent summits, has resulted in emission reduction targets and time frames being set for the participating nations to achieve. These targets are divided into two categories i.e. Developed countries and Developing countries (including Africa).
Under the CDM (Clean Development Mechanisms) process, the rational developed was that the developed countries ( Europe, USA etc.) have been the major contributors to the GHG emissions since the advent of the industrial revolution of the 1900s and have more stringent target to meet than the undeveloped counties, which have contributed less to the problem.
Since the overall objective of the CDM was to reduce total global emissions, a system was introduced that would allow the developed countries to buy carbon credits (CERs) from undeveloped countries, where the more lenient targets could be met more easily and cheaper, to supplement the required targets in their own country.
This has resulted in the establishment, over the past 10 years, of an international industry segment comprising governments, consultants and brokers who specialise in CARBON TRADING.
Whilst the sale of MEXEL products would be a be a self-sustaining enterprise in isolation the real financial incentive is the monitoring of the reduction in Carbon Emissions and the subsequent sale of the resulting CERs ( Certificate of Emission Reduction), which is expected to be the most widely traded commodity in the future.
In collaboration with BeCitizen, Mexel provides its clients with the expertise to assess the carbon credits potential of its technology and can assist them to generate the carbon credits according to the Clean Development Mechanism procedures.