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What best describes a carbon credit?
It is the monetary benefit that a company or firm receives when it cut down its emission levels.
It is an alternative to cap and trade mechanism to cut down emission levels across the globe.
It is a unit representing the right to cut down emission of carbon or carbon dioxide by one tonne.
It is a tradable permit allowing a firm or a company to emit one tonne of carbon or CO2 equivalent.
A carbon credit is a generic term for any tradable certificate or permit representing the right to emit one tonne of carbon dioxide or the mass of another greenhouse gas with a carbon dioxide equivalent (tCO2e) equivalent to one tonne of carbon dioxide.
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