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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.


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

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Etymology

Origin of carbon credit

First recorded in 1990–95

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

You can assist her in cutting up her credit cards and freezing her accounts at the major credit bureaus to make it difficult for her to take out more loans.

From MarketWatch • Jun. 27, 2026

Wall Street believes Blue Owl Capital has a major credit problem.

From Barron's • Apr. 2, 2026

NordVPN accepts all major credit cards, debit cards, Apple Pay, Google Pay, PayPal and CoinGate, which allows users to pay with Bitcoin, Litecoin, Ethereum and many other cryptocurrencies.

From Salon • Mar. 27, 2026

The story began in 2006, when the three major credit bureaus—Equifax, TransUnion and Experian—stood up a credit-scoring competitor to the dominant Fair Isaac Corp., or FICO.

From The Wall Street Journal • Feb. 15, 2026

He recommends people lock their credit at the three major credit bureaus, Experian, Equifax and TransUnion.

From Los Angeles Times • Nov. 7, 2025

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