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

Skeptics of forest protection carbon credit programs note the market is largely self-regulated, and it’s easy for participants to exaggerate the benefits of a given project.

From Seattle Times

Verra has recently said it will bring in a new rainforest carbon credit methodology by 2025.

From Seattle Times

In Cordillera Azul, the carbon credit program raises money that pays for forest patrols and education of local communities to stop deforestation, which releases huge amounts of carbon dioxide that contributes to climate change.

From Seattle Times

Mitchard also said data showing that annual tree canopy loss inside the park rose at about the same rate as tree loss outside the park after 2008 suggested the carbon credit project afforded little protection to Cordillera Azul.

From Seattle Times

There's a risk that in the meantime, a federal directory of carbon credit companies "could give a veneer that the carbon markets are more mature than they really are," said Eric Slessarev, a soil ecologist at Lawrence Livermore National Laboratory.

From Salon