Definition of carbon credit noun from the Oxford Advanced Learner's Dictionary


    carbon credit

    BrE BrE//ˈkɑːbən kredɪt//
    ; NAmE NAmE//ˈkɑːrbən kredɪt//
    jump to other results
  1. 1a key element in the system of national and international carbon trading. A country or organization has the right to produce a particular amount of carbon dioxide and other gases that cause global warming, which is expressed in terms of carbon credits, which may be traded between countries or organizations. The sale of carbon credits can finance renewable energy projects.
  2. 2a carbon offset, which a person or company may choose to buy as a way of reducing the level of carbon dioxide for which they are responsible Wind energy companies sell carbon credits to consumers.
See the Oxford Advanced American Dictionary entry: carbon credit