Former Soviet Union and Eastern Europe Poised to Dominate Global Carbon Market, Risking Climate Action
A trading system for emissions aims to lower costs of reducing greenhouse gas in different countries. Due to agreed emission targets, some countries might end up with excess carbon permits, known as "Hot Air." Countries could gain a strong position in selling these permits on the international market, which may affect how other countries tackle their emissions. Using a global modeling tool, it was found that if certain countries misuse this power, it can lead to problems in how carbon reduction efforts are shared globally due to permit price changes. In a nutshell, having too many permits floating around can cause issues in how we work together to battle climate change.