By putting a price on carbon, carbon trading creates an incentive for low-carbon development and generates revenue for climate finance. It is important to note that carbon trading is a controversial and complex issue with different schools of thought. Carbon trading can also foster innovation and technology transfer in low-carbon sectors, such as renewable energy, energy efficiency, and carbon capture and storage. Carbon trading provides an additional source of financial support for blue economy initiatives. Revenue generated through carbon credits can be channelled into marine conservation, eco-friendly tourism, sustainable fisheries, and clean energy projects.

Source: The Guardian November 10, 2023 13:12 UTC