Ultimate guide to carbon markets

Dive into the world of carbon markets, where economics, finance, and environmental science converge.

Thank You !
Find our guide with the following link 👉
Download whitepaper
Oops! Something went wrong while submitting the form.

I acknowledge that I have read Homaio's privacy policy.

White Paper homaio

Your route to mastering carbon markets

Part 1 - Introduction to Carbon Markets

--> Discover the contrasting Voluntary Carbon Market (VCM) and Compliance Carbon Market (CCM).

--> VCM focuses on carbon credits, representing environmental goodwill through emissions offsetting projects.

--> CCM, on the other hand, prices emissions directly, with governments setting caps and issuing allowances.

Part 2 - Understanding the Compliance Carbon Market (CCM)

--> CCM operates through political and economic mechanisms, aiming to price greenhouse gas emissions.

--> Governments establish emission targets, translating them into remaining carbon budgets.

--> Carbon-intensive actors must comply with emissions limits enforced through permits or allowances.

--> These permits are traded in primary and secondary markets, influenced by supply and demand dynamics.

--> The CCM incentivizes investment in emission reduction solutions, driving progress towards sustainability.

Part 3 - Exploring the European Emission Trading System (EU ETS)

--> Launched in 2005, EU ETS covers over 40% of the EU's emissions, setting targets and issuing allowances.

--> It has reduced emissions by over 40% but faces challenges aligning with global warming targets.

--> EU Allowances (EUAs) currently trade between 50€ and 60€, serving as a model for global emissions trading schemes.

Part 4 - Insights into the Voluntary Carbon Market (VCM)

--> VCM allows individuals and companies to offset emissions by purchasing carbon credits.

--> Each credit represents 1 ton of CO2-eq removed or avoided, with challenges like opacity and low prices hindering its growth.

--> Article 6 of the Paris Agreement enables countries to trade Internationally Transferred Mitigation Outcomes (ITMOs), independently from voluntary carbon credits.

Download the guide

Mastering carbon markets made easy

Get your ultimate guide now

Since you arrived on this website,
European factories emitted
tons of CO2
into the atmosphere
(1285 million of tons of CO2 in 2022
represents an average of 40 tons per second)