From Telegraph: The European Commission has called for a global emissions trading market, even as its own scheme comes under fire following a slump in the price of carbon. Analysts suggest companies are flooding the market by cashing in their emissions allowances to raise money, rather than for any environmental benefit.
The EU Emissions Trading Scheme (EU ETS) was set up as a market mechanism to help companies reduce carbon emissions. Polluters are granted a certain number of emissions allowances that can be traded. So a heavy polluter can buy carbon allowances from a company that has succeeded in reducing its emissions. …. Full Article: Source