Sunday, June 17, 2007

SL to strike it rich with carbon trading

From the Sri Lanka TimesOnline

"The Environment Ministry is taking measures to establish a Carbon Fund and make it the main foreign currency earning source of the country through greenhouse gas emission reduction trading (Carbon Trading).


Sri Lanka government starts agency to promote carbon trading

Carbon trading is a scheme to reduce greenhouse gas emissions by giving them a monetary value. A credit gives the owner the right to emit one tonne of carbon dioxide.

A total of 45 CDM projects are being developed in Sri Lanka, Minister Ranawaka said. But only four projects with annual total emission reduction of 134,000 tonnes of carbon dioxide are in progress and registered with the UNFCCC.

Experts estimate Sri Lanka's carbon trading potential is much bigger with the island being able to earn up to about 2,500 million rupees by trading around 2.5 million tonnes of carbon dioxide emissions annually at an average rate of 10 dollars a tonne.

CDM projects in the developing world have an estimated carbon trading market of 5.0 to 5.5 billion tonnes.

From Lanka Business Online