Carbon market

The carbon market has existed since before the entry into force of the Kyoto Protocol, when it was possible to observe, in the international market, a growing demand for greenhouse gas (GHG) emissions reductions, so that the ton avoided of equivalent carbon (tCO2e) has become a world-traded type of commodity.

In general, the carbon market is divided into two segments:

(i) Kyoto, whose emissions reductions are classified as Kyoto Pre-Compliance, led by the European Union; and
(ii) Non-Kyoto, whose main actor is the United States.

Between these extremes, one can also identify markets that have the prospect of becoming integrated into the Kyoto market in the future, and those that do not have it, being motivated by other interests.

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