Commercializing international environmental protection: A review of the kyoto protocol to the United Nations framework convention on climate change and Its market-based mechanisms

Abstract

One of the most current pressing environmental problems threatening the well-being and survival of the global community is climate change. The change in the Earth's climate is believed to be caused by human-induced activities such as the several decades of uncontrolled emissions of greenhouse gases. There is now a universal consensus that climate change is a global problem that needs urgent global attention and response. The need to compel a paradigm shift in the emissions of several gases accountable for global warming with the resultant effect of climate change led to the negotiation of an international agreement known as the Kyoto Protocol. The Kyoto Protocol commits industrialized nations and nations with economies in transition to reduce their greenhouse gas emissions and achieve their reductions targets. To achieve its aim, the Kyoto Protocol initiated three innovative market-based mechanisms, now known as the carbon market, designed to help Parties meet their nationa lgreenhouse emissions reduction targets. This paper reviews the market-based mechanisms (Carbon Market) of the Kyoto Protocol to the United Nations Framework Convention on Climate Change to ascertain whether the Kyoto Protocol has achieved significant global greenhouse gas emissions reduction through its carbon market. The paper also examines the compliance mechanism, the successes, and failures of the Kyoto Protocol. The paper concludes with a recommendation that both the developed and developing countries must be involved in greenhouse gas emissions reduction if any significant global greenhouse gas emissions reduction is to be achieved.