Authors: Kaushik Sridhar
Addresses: Macquarie Graduate School of Management, Macquarie University, Balaclava Road, Sydney, NSW 2109, Australia
Abstract: This paper looks at the viability of starting a carbon trading firm in Australia, based on the understanding and nature of carbon trading and its acceptance and implementation in the economy. The main function of the firm is to work as a broker on behalf of organisations or individuals for buying and selling carbon credits. A broad overview of the evolution of the carbon trading market and the mechanics involved in trading the carbon emission units is provided, along with a quick overview of how carbon credits can be priced and an analysis of the Australian Government|s Green Paper. The role that government plays in the regulation of the market and the impact of introducing an emission trading scheme on businesses in Australia is the primary reason for reviewing the carbon trading market in this paper. Finally, the potential benefits from starting a carbon trading firm in Australia are reviewed. The analysis of the potential benefits and viability includes a thorough assessment of information regarding the outlook and chances for carbon trading in this country, as well as the risks that are associated with creating and running such a venture.
Keywords: emissions trading schemes; carbon marketplace; entrepreneurship; carbon trading firms; Green Paper; Australia; carbon credits; carbon emissions; CO2 emissions; government role; market regulation; risks; risk assessment.
International Journal of Sustainable Development, 2011 Vol.14 No.1/2, pp.141 - 153
Published online: 12 Apr 2011 *Full-text access for editors Access for subscribers Purchase this article Comment on this article