Kyoto Protocols, emission trading system emerging from the flexibility mechanisms, is made between the organizations that release greenhouse gases (energy sector, paper industry, iron & steel industry etc) and renewable energy plants (wind, hydro, biogas, biomass, etc). In this structure, the emitters have release quotas (European Union Allowances – EUAs) renewed every year. These allowances represent the quantity of greenhouse gas release of the related industrial organization. In case this quota is exceeded emitter party buys emission reducing certificates (Certified Emission Reductions – CERs) prepared by an renewable energy plant so that it wouldn’t be subject to Kyoto sanctions (1 ton CO2 = 100 Euro). On the other hand renewable energy investor would be supported by direct cash flow so that it reduces its dependency to fossil fuel plants.
Since our country doesn’t participate in Kyoto Protocol emission reduction certificates from our renewable energy plants are processed in the over the counter (OTC) markets called Voluntary Carbon Market. This derivative market constituted by carbon credit purchases made by the companies, organizations, governments, or real persons to the extent of their sensitiveness to the global warming and climate changes. As a result of purchases of institutional social responsibility renewable energy sector is supported and also an emphasis to the climate changes would be made by the buyer party. Our company operates in the carbon emission market under the trading name of carbonbroker.eu and offers services on the development and sales of carbon assets.