One of the issues with carbon credits is they can be bought and sold. So if my company is more efficient, they can sell their remaining carbon credits to some other company which ends up polluting more.
Carbon credits are basically a fine for polluting. If you can pay the fine, it’s business as usual.
One of the issues with carbon credits is they can be bought and sold. So if my company is more efficient, they can sell their remaining carbon credits to some other company which ends up polluting more.
Carbon credits are basically a fine for polluting. If you can pay the fine, it’s business as usual.
Which makes the environmentaly friendly company more profitable - encouraging others to do the same.
As more and more companies do this, the number of credits can be reduced to increase their price and keep the total emissions on a downward trend.
Yeah a lot of Tesla’s revenue is selling carbon credits because their processes are less polluting. They make ungodly amounts of money by doing this.