carbon credit

American  

[kahr-buhn kred-it] / ˈkɑr bən ˌkrɛd ɪt /

noun

1. a unit of one metric ton of carbon dioxide (or an equivalent mass of other atmospheric pollutants), as enumerated in the tradable permits that regulate atmospheric pollution in a cap-and-trade system.

   Companies can accumulate carbon credits by funding new forest growth.

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carbon credit British  

noun

1. a certificate showing that a government or company has paid to have a certain amount of carbon dioxide removed from the environment

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Etymology

Origin of carbon credit

First recorded in 1990–95

Example Sentences

“This is the number one risk with Corsia,” said Ben Rattenbury, VP of policy at carbon credit rating and services provider Sylvera.

From The Wall Street Journal

Verra, the main international body that validates carbon credit projects, suspended credits from a major forestry project in Zimbabwe in September, for which Volkswagen was also a client, saying its benefits had been exaggerated.

From Barron's

Verra told AFP it had yet to audit the project in Tanzania, or a competing carbon credit scheme proposed by US-based Nature Conservancy in the same region.

From Barron's

Namnyak, a Maasai herder in north Tanzania, fears a carbon credit scheme linked to Volkswagen -- dismissed by NGOs as "greenwashing" -- could destroy her community's way of life.

From Barron's

A Verra spokesperson defended carbon credit schemes as "one of the few vehicles that bring sustained investment into rural areas".

From Barron's