Carbon credits are a type of permission that, if not fully utilized, permits a nation or entity to emit a set quantity of carbon dioxide that can be sold. Now competing internationally to obtain #carboncredits for its municipal transportation is the venerable BEST Undertaking. The more than a century-old public transportation corporation, which completed 75 years of municipalization this year, has planned to purchase and trade carbon credits on a global platform with significant green projects like electric, hybrid buses, and solar charging.
One tonne of carbon dioxide or the mass of another greenhouse gas with a carbon dioxide equivalent (tCO2e) equating to one tonne of carbon dioxide is the maximum amount of emissions that can be made under the terms of the carbon credit. Put another way; one carbon credit equals one metric tonne of carbon dioxide kept out of the atmosphere. Carbon credits are quantifiable, independently verified reductions in emissions from approved climate action programs. These initiatives aim to cut, eliminate, or prevent #greenhouse gas emissions.
BEST has committed to pursuing green energy. By 2023, the project plans to have 3,000 electric buses in service after replacing 400 conventional buses. By 2025, it intends to replace all 10,000+ buses in its fleet with electric ones. Additionally, since 2007, around 60% of the fleet has been run on CNG. The initiative will also execute a contract to purchase 700 MW of energy from the Solar Energy Corporation of India Ltd (SECI) to charge electric buses.
There are currently authorized procedures under international standards to create carbon offset projects in the #electricvehicle (EV) industry. Verified/Voluntary Carbon Standard, Gold Standard, Clean Development Mechanism—these organizations allow EV projects to be registered for emission reductions by electric and hybrid vehicles. Given that the Global Carbon Council has authorized all clean development mechanism techniques, BEST wants to use the GCC as the platform.
To facilitate the selection of BEST projects concerning carbon credits, generate them, and eventually trade carbon credits to a suitable buyer and bring revenue to BEST’s bank account, experts and consultants have now been brought in to coordinate with BEST and identify all eligible projects—past, present, and future—as well as monitor, collect baseline data and make a roadmap. BEST wants to switch its whole fleet to electric buses by 2025.
According to the Corporate Credit Institute, a carbon credit is a transferable permission or certificate that entitles the owner to emit one tonne of carbon dioxide or an equal amount of another greenhouse gas.