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Climate Change & carbonmarket-Issues & Recomaditions
 Overview
Carbon Trading, the trading of GHG emissions - is a crucial process in the world effortto struggle unwanted climate change. Several governments, organizations and individuals aremaking efforts to reduce their greenhouse gases emissions either voluntarily or increasingly, because of present or probable regulatory constraints. Since GHGs mix homogeneously in theatmosphere, it is equivalent from an ecological perspective to reduce emissions anywhere in theworld apart from political jurisdiction. Most of the regulatory system limiting GHG emissionstakes advantage of this assets of “substitutability” and permit for the procurement of emissioncredits from both within and outside of the regulated system, thereby laying the ground for aworldwide “carbon market”. Among the markets for ecological service currently under operation, the carbon market is the only most vigorous one, with worldwide reach. Since carbonreduction costs are thought to be lower in transition market & in developing countries. The
 
carbon market is a possibility not only to produce comprehensive efficiency expansion, but alsoto add to sustainable development through bringing new public & private asset in cleaner technologies to market in transition and to developing countries.In actuality global warming is not just having environmental manipulation but alsohaving grave economic implications to society. The sector that would instantly get affectedwould be agricultural sector, due to its defenselessness to weather & rainfall. For example,worldwide wheat prices were on rise because of unfavorable weather conditions which is prevailing in several parts of the globe. A shortage of rainfall in Australia previous year hadreduced the country’s production of wheat by almost 50%. Irregular rainfall & toweringtemperatures have also affected wheat production in various countries. As India is an agricultural base country so it may have to suffer if emissions will not be controlled. And to encourage wholeeconomy of the world there is a need of existence of Carbon trading which brings both profitseekers & carbon neutrality motivated individuals, companies & regulated forced structure atone to make world emission neutral. There are in fact several carbon markets, which involvedifferent underlying assets, contractual structures, and governing regulations. These markets arelinked, but not fully interconnected as there is limit cap over the transfer of credits betweendifferent regulated markets for e.g. EUETS & CDM.
Issues in Carbon mitigation:
Carbon market is not new to world, there are being several activities prevailing sinceapprox. 25 years but the most efficient mile stone in carbon market was achieved in 2005 whenEUETS & Kyoto came into existence. Although carbon trading is the only sector which isgrowing at robust speed (having potential 60 to 70 billion USD annually) and covering wholeworld as united for its growth for mitigating climate change, there are lots of issues existingwhich are left unexplored or if explored than not much attention is being given, here I will behighlighting some issues known to me which need immediate consideration for proper action.
 
1.
Due to excessive non-sustainable consumption of resources and belching of pollutants inenvironment, the temperature of world is increasing gradually from several decades, as aresult sea level is increasing due to melting of glaciers, depletion of ozone layer but knowthe most alarming situation has come according to
NASA team on climate change
, the
life on earth will finishes up by 2015
 because now the blue ice have also started meltingwhich was as it is from last 10000 years having a terrible increase in sea level anddisturbing the ratio of land and water on earth and by 2015 water will cover the left 30%land portion by it.
 2.
Continuity of Kyoto after 1
st
compliance period that is in Second Compliance Period isnot being confirmed in Bali action Plan & if it cameinto existence than what about transfer of creditamong them is not cleared which has created lots of question mark on CDM and affecting its prices.
3.
 Non Availability of linkage between
CITL & ITL(
Community transaction log & internationaltransaction log
)
. Hence no linkage between severalschemes and also non availability of spot transfer of Carbon credits among some major schemes.
4.
There is lot of Procedure delay in registering Project as CDM projects
- It can take between one and two years for a project to go from validation to registration andtechnical delays. This does not even include the six months or so that it is taking to book the services of a DOE. Project delays cost project developers valuable financialresources, cost buyers valuable emission reductions and can delay desired environmentaloutcomes. Clearing bottlenecks and accelerating the application of necessary procedureshas become a priority challenge
5.
Standard methodology for 
Jatropha CDM project
is not available, hence projectdeveloper wanting to develop CDM project by using Jatropha as a fuel has to create anew methodology and get it approved by Executive board which is very time consuming.
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