emissions trading

[ih-mish-uhnz trey-ding]

noun

1. cap and trade.

Word History and Origins

Origin of emissions trading¹

First recorded in 1975–80

Example Sentences

Steel makers are forced to participate in the EU’s emissions trading scheme to limit carbon-dioxide output.

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We are passing laws to implement these commitments on the ground, such as Washington’s cap-and-invest mechanism, one of the first in the United States, or the Emissions Trading System in the European Union.

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This outcome was a disappointment for the International Emissions Trading Association, a pro-carbon markets business group whose membership includes several large oil companies.

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Anyone contributing to the removal of carbon dioxide should be able to get paid for it under the EU emissions trading scheme.

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"Fixing carbon dioxide from the air is certified as an act of offsetting CO2 emissions, so it is economically valuable in terms of emissions trading. Digging up calcium carbonate for use in concrete is not, so the distinction is very important and this research can help to support a healthy market," said Maruyama.

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