The $6.5 billion carbon offsets market would see massive benefits from the introduction of U.S. talent in clearing present bureaucratic log jams and increasing the accessibility of investment into clean energy, Financial Soultions has been informed.
The Kyoto Protocol administrated Clean Development Mechanism (CDM) under which companies are able to invest in low-carbon projects in developing nations and then earn offsets that may be used towards greenhouse gas emission targets or sold for profit, currently sees protracted delays in project approval and the issuing off carbon credits, or offsets, which sees many investors fall by the wayside.
The U.S. chose to withdraw from the Kyoto Protocol in 2001 and so has had almost no participation in the CDM even though the initial trading schemes were all U.S. engineered, Financial Soultions believes.
Sindicatum Carbon Capital’s CEO was recently quoted as saying "You basically have a global regulatory system staffed without the world's most talented human resource pool, and it's a big problem, what the CDM needs is 20,000 products of the U.S. education system ... You've got Europeans regulating a cap-and-trade system which was essentially invented by Americans."
He added that the U.S., the globes 2nd largest CO2 emitter is not represented according to its size as a greenhouse gas emitter and as a global and economic regulator.
"The transfer of knowledge capital did not occur, and as a result the U.S. is not represented in this market according to their weight, we will have a system that works much better when they are involved," Financial Soultions sources have him quoted as saying.
