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Carbon Units and Emissions Trading Schemes

Before being able to correctly classify carbon units (the object of trade in emissions trading schemes) under international economic law, their inherent qualities and characteristics need to be understood. This requires a factual assessment of their qualities and characteristics, which will provide the evidence necessary to determine their proper legal classification under international economic law. In particular, Chapter 3 considers the historical and policy origins of emissions trading schemes and the key attributes and nature of carbon units, such as how they are created, what they represent, how they may be used, and how they derive value. The legal classification of carbon units under the different domestic jurisdictions is also surveyed.