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Carbon Credits Help Reduce Carbon Debt

The idea portrayed by headlines like the one below (from a recent Wall Street Journal article*) that carbon credits will not cut emissions - just serves to obscure the great work carbon credit programs can be capable of accomplishing.

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Carbon Credits Help Reduce Carbon Debt

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  1. The assertion made in headlines, such as the one below that carbon credits are not going to reduce emissions - just obscures the good work that carbon-credit programs are capable. Yes, it is true that carbon credits are not likely to have an effect on the behavior and emissions of the largest emitters. This is especially in contrast to the profit that is generated from the manufacture of fossil fuels. More likely, less expensive renewables are more likely to have an impact on our dependence on fossil fuels than taxing them. Today's emissions are a problem. To understand the importance carbon credits, however, we must move beyond the Income Statement and look at our Balance Sheet. It is time to focus on our Long-Term Carbon Debit. If Planet Earth maintained a Balancesheet that we had to use, we would have to report our basic requirements, like food availability and physical security, water security, etc. Also, our long Team Debt entries our total debt and extreme levels of soil organic carbon loss from farms, as well as the staggering degree of degrading mangrove coastal carbon storage areas, it would be obvious that this situation wasn't caused by one year's emissions. This is the reason I believe that any story that includes offsets for carbon and emission reductions is misleading and the issues that we're experiencing caused by climate change are not simply the result of carbon emissions, but rather decades (centuries?) poor agricultural practices, the massive destruction of mangroves, pollution, Home page and a myriad of other sins. How severe is the damage? Mangrove forests all over the world have lost between 50% to up to 65%. Many farmlands around the globe have lost more than 80% of their organic matter from soil and to the point where food security is in jeopardy. We need to change our perspective away from the "triple bottom-line" and focus on accumulation of balance sheet debt. Think of carbon credits more as a balance sheet adjustment item relating to total debt as opposed to a tax on the present emissions. Carbon credits can be used to decrease (carbon-related) the amount of debt. What can we do to reduce our credit? The answer is straightforward. Let's consider an example. CarbonNation Blue is a CarbonNation fund. The fund's mission is one easy, yet effective thing that is to help restore and protect mangroves. Mangrove forests require substantial funding in order to scale. For instance one hectare of mangrove forest that needs to be replanted could require between USD2,500 to US4,500 per hectare. It will also require three years' careful cultivation by local communities. It is also necessary to provide more efficient algae-based fisheries for the nearby area so that any phosphorus and nitrogen wastes can be eliminated as well as the quality of the produce can be enhanced. Once this time has passed, the carbon credits are created. These carbon credits could be used to repay of the principal amount as well as a return of capital to investors. This also includes the community, which are the first beneficiary of the investment at the beginning. The financial benefits aside which are the advantages? The increase in mangrove coverage will lead to a greater quantity of fish. Mangroves guard fish from predators. It is one of the primary sources of income for many coastal communities. Mangroves with more mangroves provide greater protection against the rising tides and erosion of coastal areas. Many people know, mangroves have the highest carbon sequestration than low-density forests. Yes, machines that draw carbon out of the air and then store it in the ground look futuristic. But mangroves do this for millions of years and provide us food.

  2. The fund has already secured significant financing and also other partners for its initiatives. However, you're still welcome to connect with additional partners. The article has been thoroughly researched and written. The problem I have with it is its negative headline. It is based on the text of the article and suggests it was altered or added by an editor.

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