clean development machanism

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260 The Management Accountant |March 2012 Clean Development Machanism—a pathway to future sustainable development Sujit Dutta Head of the Department—MBA Institute of Engineering & Management Kolkata Introduction T he first commitment period of Kyoto—Protocol, the global legally binding agreement for reducing emissions on which the current carbon market is based—will come to an end in December 2012.The existing Kyoto Protocol, the only pact that imposes legally binding cuts though only on developed countries, extended till the end of 2017. The Durban Conference agreed to extend Kyoto Protocol for a second period from January 2013 to December 2017. After Durban conference, due to extension of the Kyoto Protocol Mechanism, more and more companies will be looking towards environmentally sustainable projects through clean development mechanism. This will bring certainty to the UN-backed carbon trade. Market will be positive and more Indian companies will invest in the CDM projects. This will bring enormous growth in carbon credit trading and India—being the second largest supplier of carbon credit—it will bring tremendous opportunity for Indian Inc. to earn revenue from carbon credit through CDM project. Objective The objective of this study is to focus on key underlying issues of the CDM and to bring attention of the policymakers to take the mechanism forward and unleash the huge potential lying ahead of the industry. What is CDM? The CDM is a full-fledged offset standard. It is an economic instrument for inducing initiatives to meet the challenges faced by the impending threat of climate changes. The CDM mechanism creates a platform in which developing countries can voluntarily participate in the long term global climate actions. The aim of the CDM out of the three flexible mechanism of Kyoto Protocol is to assist sustainable development of developing countries. According to Article 12 of the Kyoto Protocol, the CDM allows Annex I countries to invest emission reduction projects in developing countries and receive credit in the form of Certified Emission Reductions (CER), which they may count against their obligatory reduction targets. Through this, industrialized countries can finance mitigation projects in developing countries contributing to their sustainable development. Clean Development Mechanism CDM Project Flow Chart COVER THEME Technology Transfer & Project Financing Carbon Credits CDM Developed Countries Developing Countries Activity Output Accredition/ Designation Project Identification And Formulation PDD PP Letter of Approval DNA National Approval Validation Registration Project Financing Monitoring Validation Report DNA It is the Responsibility of the DNA to determine Environ- mental Sustainability The PDD is approved by DOE- A after available public suggestions CDM-EB The PDD and validity report is submitted to EB i.e. project is big Investor Bi-lateral mode, Uni-lateral mode, Multi-lateral mode PP The monitoring report is submitted by DOE-A to DOE-B

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Clean Development Machanism

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Page 1: Clean Development Machanism

260 The Management Accountant |March 2012

Clean Development Machanism—a pathway to future

sustainable development

Sujit DuttaHead of the Department—MBAInstitute of Engineering & ManagementKolkata

Introduction

The first commitment period of Kyoto—Protocol,the global legally binding agreement forreducing emissions on which the current carbon

market is based—will come to an end in December2012.The existing Kyoto Protocol, the only pact thatimposes legally binding cuts though only ondeveloped countries, extended till the end of 2017.The Durban Conference agreed to extend KyotoProtocol for a second period from January 2013 toDecember 2017. After Durban conference, due toextension of the Kyoto Protocol Mechanism, moreand more companies will be looking towardsenvironmentally sustainable projects through cleandevelopment mechanism. This will bring certainty tothe UN-backed carbon trade. Market will be positiveand more Indian companies will invest in the CDMprojects. This will bring enormous growth in carboncredit trading and India—being the second largestsupplier of carbon credit—it will bring tremendousopportunity for Indian Inc. to earn revenue fromcarbon credit through CDM project.

ObjectiveThe objective of this study is to focus on key

underlying issues of the CDM and to bring attention ofthe policymakers to take the mechanism forward andunleash the huge potential lying ahead of the industry.

What is CDM?The CDM is a full-fledged offset standard. It is an

economic instrument for inducing initiatives to meet thechallenges faced by the impending threat of climatechanges. The CDM mechanism creates a platform inwhich developing countries can voluntarily participatein the long term global climate actions. The aim of theCDM out of the three flexible mechanism of KyotoProtocol is to assist sustainable development ofdeveloping countries. According to Article 12 of theKyoto Protocol, the CDM allows Annex I countries toinvest emission reduction projects in developingcountries and receive credit in the form of CertifiedEmission Reductions (CER), which they may countagainst their obligatory reduction targets. Through this,industrialized countries can finance mitigation projects

in developing countries contributing to their sustainabledevelopment.

Clean Development Mechanism

CDM Project Flow Chart

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Technology Transfer &Project Financing

Carbon Credits

CDMDevelopedCountries

DevelopingCountries

▲ ▲

Activity OutputAccredition/Designation

ProjectIdentification

And FormulationPDD PP

Letter ofApproval

DNA

▲ ▲

▲ ▲▲

NationalApproval

Validation

Registration

Project Financing

Monitoring

ValidationReport

DNA

It is the Responsibility of theDNA to determine Environ-mental Sustainability

The PDD is approved by DOE-A after available publicsuggestions

CDM-EB

The PDD and validity report issubmitted to EB i.e. project isbig

Investor

▲Bi-lateral mode, Uni-lateralmode, Multi-lateral mode

PP

▲The monitoring report issubmitted by DOE-A toDOE-B

Page 2: Clean Development Machanism

The Management Accountant |March 2012 261

Note : DNA : Designated National Authority; DOE:Designated Operational Entity; PP: Project Participants/Proponents; EB: Executive Board; PDD: Project DesignDocument; CER: Certified Emission Reductions

Ensuring Sustainability DevelopmentCDM is an eventual result of a long evolution from

a proposal by Brazil, a leading developing country.Most developing countries are struggling to get outof poverty. Many developing countries expect CDMto facilitate a substantial transfer of technology andother resources to support economic growth. Animportant question about CDM is whether it cansupport to initiate projects that serve both climatechange mitigation and sustainable developmentobjective. If CDM does not make its expectedcontribution to sustainable development, then supportfor it is likely to erode.

Sustainable DevelopmentSocial : Generation of employment directly and

indirectly during operational and construction phase ofthe project is to be ensured. Whenever a project is startedit provides many opportunities to the small-scaleentrepreneurs around the project that enables the localpeople to have steady source of income for theirlivelihood. The project is also expected to create businessopportunities for local stakeholders such as bankers,manufacturers, contractors, suppliers and so on.

Economical : The project facilitates earningadditional revenue to the government. There will beinflows of fund through the sale of CERs and this willbring direct and indirect positive economic growthin the region as well as country.

Environmental : Use of modern technology willresult in GHG emissions and thus reduce theenvironmental impact in the region. CDM projectensures real, measurable and long term emissionreductions.

Technological : Transfer of new technology and otherresources is a key element of CDM project. Modern andnew technology will help in enhancing the skill andknowledge base of the employees. This can help otherprojects in the country to acquire technology andencourage capacity building across the country.

Eligible Sectors for CDM ProjectsThe important sectors which have potential for

CDM projects in developing countries include thefollowing :

● Agriculture● Buildings (residential, commercial, and govern-

ment buildings)● Energy generation, distribution and use● Forestry● Industry and Manufacturing activities● Mining● Transport● Waste ManagementCDM from India’s Perspective

CDM projects in few developing countries and, and theglobal scenario (as on 16th May 2011). Source: UNFCCC

CDM projects in few developing countries and, and theglobal scenario (as on 16th May 2011). Source: UNFCCC

Some emerging issuesTo ensure the potential of CDM as a market based

instrument for encouraging investments from thedeveloped countries and to stimulate the projectproponents in developing countries, there are certainissues which need to be addressed and these relatesto whether

● It will help in enhancing the knowledge

Issuance of CERs

VerificationCertification

Report

DOE-B

Verification report isproduced and

certification reportis issued to EB

CDM-EBCERs are issued

by EB

Varification/Certification

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(contd. to page 266)

“The art of communication is the language of leadership.” — James Humes

Page 3: Clean Development Machanism

262 The Management Accountant |March 2012

Sustainable Growth—The Accountant’s role

Sreenivas GarimellaB.Com., PG Dip PPM, ACMATeam Manager, SBSC, Chennai

The recognition governments and manyorganizations have given to the importance ofsustainability and sustainable development is

beginning to change business culture and society. Theglobal challenge is to ensure that organizationsdevelop sustainably to reverse the previous erosionof natural resources, and to improve theirenvironmental, social, and financial performance. Thisrequires radical changes in the way they do businessand the way we live our lives.

From an environmental and social perspective,sustainability issues are transforming the competitivelandscape, forcing organizations to change the waythey think about products, technologies, processes,and business models. From a financial perspective,the primacy of shareholders as owners is giving wayto an enlightened view of maximizing wealth creationthat incorporates wider stakeholder perspectives andissues into decision making. Long-term sustainablevalue creation requires responsible organizations todirect their strategies and operations to achievingsustainable economic, social, and environmentalperformance.

Achieving a sustainable future is only possible iforganizations recognize the role that they can andneed to play. Effective action by the accountancyprofession and professional accountants to betterintegrate and account for sustainability is an essentialpart of that role. Every organization today stronglybelieves that these professional accountantscan influence the way organizations integratesustainability into their mission, goals and objectives,strategies, management and operations, definitions ofsuccess, and stakeholder communications.

Professional accountants in all types of organi-zation have a significant role in :

● challenging conventional assumptions of doingbusiness, identifying risks, and seizingopportunities;

● integrating sustainability issues into strategy,operations, and reporting;

● redefining success in the context of achievingsustainable value creation;

● establishing appropriate performance goals andtargets;

● encouraging and rewarding the right behaviors;and

● ensuring that the necessary information,analysis, and insights are available to supportdecision making.

Considerable progress has been made on defining,spreading awareness and gaining recognition thatlong-term sustainable organizational success andvalue creation is only achievable when organizationsdirect their strategies and operations toward achievingsustainable economic, social, and environmentalperformance.

Many of the corporate governance reform effortsare using the language of sustainability, stakeholdergovernance, and encouraging governing boards totake a longer-term view of performance, as thephilosophy revolves around leadership, sustainability,and corporate citizenship.

Corporate do believe and understand that thesustainable success of an entity over the longer termas a key component of effective board practice. Vastmajority of CEOs see sustainability as important totheir company’s future success in spite of economicdifficulties. However, significant challenges remain fororganizations, including integrating social andenvironmental (along with financial) factors into anorganization’s way of doing business in all the coreelements of the organization, and across the supply chain.

Another challenge is engaging small-and medium-sized entities (SMEs). In most countries, SMEs accountfor a sizeable portion of private sector employmentand gross domestic product. With regard toenvironmental and social issues, SME impacts areconsiderable, and therefore have vast potential tocontribute to sustainable economies. The integrationof social and environmental factors is critical iforganizations are to gain the trust of stakeholders andthe wider public. It is felt to reinforce the importanceof information reporting and to expand from abusiness strategy and operational perspective to thatof an integrated reporting perspective. Integrated

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Page 4: Clean Development Machanism

The Management Accountant |March 2012 263

reporting is emerging as a new theme and is well-supported.

Integrating sustainability issues into businessstrategy and operations is now covered in more depththat reflects new thinking. The reporting perspectivehas been updated to provide guidance on how toimprove stakeholder communications, based onsustainability reporting and providing an integratedview of environmental, social, and financialperformance. The integration of sustainabilityinformation with mainstream financial reporting willincreasingly be critical to maintaining the trust ofcustomers and investors.

Connecting Professional Accountants toSustainability

Professional accountants are categorized and seen ascreators, enablers, preservers, and reporters ofsustainable value for their organizations. Expectationsare set in business as derived from the activities that theyperform to support the development of sustainableorganizational success. The professional expertiseacquired and orientation equips them with the necessaryqualities to support their contribution, and particularlyto act as integrators by incorporating sustainabilityfactors into their organizational strategy, operations,and reporting. This will allow organizations tosimultaneously deliver improved business performanceand to contribute to a better world.

Every organization clearly highlights the role ofprofessional accountants to be more than simply thatof preparers or assurers of financial and sustainabilityreports. More than one-half of all professionalaccountants globally work in organizations and areadapting to a world in which sustainability is the keyto long-term organizational performance.

The organizational objectives and goal statementsframed helps professional accountants to understandhow, in their diverse roles, can influence change.Defining clearly the different facets of sustainabilityand corporate responsibility in organizationalframework, can help professional accountants graspall the important aspects of sustainability that theymay encounter, directly or indirectly, and that wouldbe important to their organizations.

Role of Professional Accountants and the FinanceFunction

The organizational framework will provideprofessional accountants with an opportunity toconsider themselves as knowledgeable change agents.Professional accountants are well-positioned to helporganizations interpret sustainability issues in arelevant way for their organizations, and to integratethose issues into the way they do business. Althoughdeveloping a sustainable organization is a multi-

disciplinary responsibility, the finance function needsto be clear on its role in providing and supportingsustainability leadership for several reasons:

● The finance function is well placed to influencebehavior and outcomes through incorporatingsustainability considerations into strategies and plans,business cases, capital expenditure decisions, and intoperformance management and costing systems.

● Integrated sustainability management involvesmanaging opportunity and risk, measuring andmanaging performance, and providing insight andanalysis to support decision making. This plays to thestrengths of professional accountants working infinance functions and offers opportunities to providehigher value business partnering.

● Improving the quality of stakeholdercommunications and the reporting of sustainabilityinformation and how it connects to an organization’sstrategy and operations requires the same rigor as theprocess of financial reporting. Materiality, relevance,comparability, accuracy, and completeness continue tobe essential qualitative characteristics of information.

Professional accountants understand the need for,and how to implement quality data and robustsystems to capture, maintain, and report performance.They also have the project management skills neededto put such systems in place, applying appropriateprocesses and controls.

To rise to the challenge, professional accountants,on an individual level, will need to understand howsustainability does or might affect their role, and toidentify and utilize the continuing professionaldevelopment resources available. Continuingeducation will help accountants learn more about theapplied aspects of sustainability and determineapproaches to organizational improvement andtransformation.

Accountants working in audit and advisory roles,particularly in SMEs, can consider how they couldembrace sustainability issues to add value to their clientservice/ advisory role. Importantly, when acting in apublic interest-related reporting or advisory capacity, itmight be necessary to consider whether sustainabilityissues have been properly addressed and disclosed.

Organizational Perspectives and Key Considera-tions

Many accountants find it very difficult to get acoherent view of all the various perspectives of thistopic due to overloaded information available fromvarious sources. Fundamentally, it has been observedthat organizations that have successfully embracedsustainable development have usually taken actionsto cover (1) business strategy perspective,(2) operational perspective, (3) reporting perspective.

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Page 5: Clean Development Machanism

264 The Management Accountant |March 2012

From the business strategy perspective, theemphasis is adopting a strategic approach, so thatsustainability is integrated into vision and leadership,strategic planning, objectives, goals, and targets, aswell as incorporated into governance, accountabilityarrangements, and risk management.

The operational perspective focuses on how anorganization can deliver on its strategy and specificsustainable development objectives and targets. Itpresents a full spectrum of management andmanagement accounting activities to support higherquality information, which leads to more-informeddecision making and can help support the choices anorganization needs to make to chart a moresustainable path. This perspective covers howorganizations can achieve relatively simple quick winsto improve energy efficiency and reduce waste,calculate a carbon footprint, and implementsustainability and environmental accounting,integrated management control systems, andperformance measurement and KPIs.

The reporting perspective covers on how accountantscan help improve the usefulness and relevance of theirorganization’s external communications, includingdeveloping a reporting strategy to help achieveintegrated business reporting. Professional accountantscan lead the way in developing a reporting anddisclosure strategy to help yield high-quality reportsand accounts that provide a more complete picture ofan organization’s performance. This will involvereflecting sustainability impacts in financial statements,improving narrative reporting, determiningmateriality in relation to the needs of variousstakeholders, and establishing an approach to externalassurance that adds credibility to an organization’sdisclosure and can also help to improve anorganization’s reporting processes.

Let us review the key considerations for each ofthe above dimensions :

Business Strategy Attributes Key Considerations

Defining Sustainability ● Create awareness of how the financeand Sustainable function can get involved in establishingDevelopment a business case

● Ensure clarity on uses of the business case● Focus the business case on linking

sustainability to strategy and the impactsof organizational activity on society andthe environment

● Identifying significant, material, andrelevant environmental and social issues.

● Understanding sustainability issues andtheir relationship to a particular organi-zation is an important precursor to esta-blishing an approach to dealing with them.

Vision and Leadership ● A strategic approach to sustainability helpsto identify a range of competitive strategies.

● Values guide behaviors and decisions.

● Integration of sustainability into the keybusiness drivers requires leadership andownership within the governing bodyand at all management levels.

● Managerial and operational structuresdeliver the vision and strategy and ensureaccountability and ownership.

Stakeholder Engagement ● Reinforce the importance of stakeholderengagement.

● Establish a systematic and carefullyplanned approach to entering a dialoguewith stakeholders.

● Stakeholder dialogue can help managersconsider how best to deal with the trade-offs between economic, social, andenvironmental performance.

● Ensure that ongoing stakeholderengagement initiatives are continuous,dynamic, and periodically reviewed.

● Build the knowledge and professionalskills needed to deal with the challengesof understanding and balancingstakeholder expectations.

Goals and Target Setting ● Establish goals, targets, and performancemeasures.

● Identify outcomes where possible.● Engage employees involved in executing

strategy .● Link to rewards.● Establish a baseline against which

progress can be monitored.Integration with Risk ● Integrate sustainability issues into riskManagement management and other management

systems.● Gather information and assess cost benefit.● Assess potential impact.● Interpreting risk and causation.● Dealing with opportunity and risk

Engagement of Suppliers ● The overriding importance of values and arisk-based perspective to guide decisions.

● Identify the opportunities associated withsustainable procurement.

● Supplier monitoring and support isongoing via periodic meetings andtraining, and with the consideration ofcollaborative opportunities.

● Consider a systematic process forsupplier selection that is clear to allpotential and current suppliers.

● Communicate how an organizationbuilds relationships and does businesswith business partners and suppliers.

Operational Attributes Key Considerations

Cutting Cost by minimizing ● Identifying large environmental costs thatwaste could be reduced

● Monetizing procedures for costs, savings, andrevenues related to any business activities witha potential environmental impact.

(contd.)

Business Strategy Attributes Key Considerations

(contd.)

(contd.)

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Page 6: Clean Development Machanism

The Management Accountant |March 2012 265

● Using measurement and targets andensuring accountability.

● Small (and no cost) changes can lower energycosts and reduce carbon emissions.

● Spreading awareness.● Spreading awareness.● Tracking physical accounting information.● Reviewing and understanding the

impact of legislation regarding waste.● Changing processes.

Carbon Foot printing ● Moving beyond a GHG inventory.● Determine how to manage carbon

emissions data.● Distinguish between boundaries, in terms of

organizational and product footprints, andbetween entities in the supply chain.

● Establish principles of a carbon auditreport and the key issues to be disclosedin external reports for stakeholders.

● Greenhouse gas inventory audit.Improving information to ● Moving from a conformance- to an integratedsupport decisions and performance-based view of accountingreporting for sustainability impacts

● Identifying, defining, and classifying costs tomotivate desired activities and behaviors

● Working across organizationalfunctions, particularly integratingaccounting, procurement and operations

● Accounting for social costs and valuingsocial impacts

● Using environmental and social cost andother non-financial information forproject appraisal and capital budgeting

Integrated Management ● MCSs should incorporate specific activitiescontrol Systems that support sustainability goals and

objectives into the organization’s overallmanagement and control cycle.

● MCSs should ideally help to integratesocial and environmental factorsalongside financial and quality factors

● (Internal) control effectiveness depends oneffective governance and risk management.

Performance ● Integrate sustainability measures where theyMeasurement and KPIs have been identified as an important

driver of strategy.● Judge how scientific cause-and-effect

relationships between measures need tobe to inform decisions.

● Develop and use eco-efficiencyindicators to link monetary and physicalinformation for decision making

● Develop and use socio-efficiency indicatorsto better understand social impacts.

Reporting Attributes Key Considerations

Develop reporting strategy ● Determine the range of users and their needsfor various types of reports and disclosures.

● Break down functional silos to facilitateeffective integrated reporting.

Business Strategy Attributes Key Considerations

● Use reporting frameworks and guidelinesto help develop reporting processes andto ensure that all relevant sustainabilityinformation is disclosed.

● Meeting stakeholder needs in all markets.

Reflecting impacts in ● Establishing how to reflect environmentalfinancial statements (and, where applicable, other sustaina-

bilityrelated) liabilities and costs infinancial statements prepared under IFRSs.

● Determining specific sustainabilitydisclosure requirements under nationalsecurities regulations and GenerallyAccepted Accounting Principles (GAAP).

Transparency to Investors ● Avoiding over-disclosure and clutter. Asis the case for other aspects of businessreporting, the challenge for sustainabilityrelated disclosures in the MC (and inseparate sustainability reports) is to avoiddisclosing too much information,particularly immaterial clutter. Forexample, disclosing all risks that anorganization faces could reduce thevisibility, and therefore the relevance andunderstandability, of key risks.

● Ensuring a forward-looking orientation.An annual report will incorporate bothpast performance and prospective events.

● Viewing narrative reporting as a fairreflection of the management informationused internally.

Determining Materiality ● In defining report content, materiality shouldbe considered along with the need for otherimportant information characteristics.

● Accountability for materiality thresholdsand judgments.

● Materiality testing can also apply to thesustainability issues that potentiallyapply to the sector in which anorganization operates

● Determining a process for resolving differentexpectations regarding materiality.

● Where information is reported can help (a) toreinforce materiality criteria, and (b) to keepthe length of disclosures manageable(particularly where the application ofmateriality might vary between reporting forwider stakeholders from investors).

External Review ● The quality of external assurance is directlyand Assurance of linked to stakeholder inclusiveness.Sustainability Disclosures ● Clarifying the purpose and scope of the

assurance.● Establishing the type of engagement.● Enhancing the assurance statement.

(contd.)

Reporting Attributes Key Considerations

(contd.) (contd.)

References■ IFAC website www.ifac.org.■ BT Group, Changing World : Sustained Values, Our 2010

Sustainability Review (London, 2010).■ CorporateRegister.com, Assure View, The CSR

Assurance Statement Report (London, 2008).

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Page 7: Clean Development Machanism

266 The Management Accountant |March 2012

■ American Institute of CPAs, Canadian Instituteof Chartered Accountants, and Chartered Instituteof Management Accountants, Evolution of Cor-porate Sustainability Practices: Perspectives fromthe UK, US and Canada (London: CIMA, 2010).

■ Association of Chartered Certified Accountants andKPMG, Environmental Liabilities: Paying for the Past,Providing for the Future (London, 2002).

■ Integrated Reporting Committee, Framework forIntegrated Reporting and the Integrated Report,Discussion Paper (Johannesburg, 2011).

■ “Become Energy Efficient,” US Small BusinessAdministration

■ Various other references from British Library and frominternet.

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and skill of the employees with the newtechnology.

● It will help in increasing the direct and indirectemployment opportunity.

● It will reduce pollution at the facility.● It will contribute to a better local environment

for the employees and the surroundingcommunity.

● It will help in improving the social status of thepeople in and around the project.

● It will demonstrate the use of any new financialmechanism.

● It will generate additional revenue for thecompany.

ConclusionThe CDM—an innovative flexible mechanism

under the Kyoto Protocol—has the objective ofassisting developing countries in achievingsustainable development. It has been successful ingiving momentum for clean energy projects. CDMactivities witnessed steady progress over the years.It has helped in raising awareness of global warmingand climate change. Hence, it is important toensure that CDM continues to grow and promoteenvironment-friendly projects.

CDM implementation brings opportunities as wellas threats. Hence, role of the government is all themore important. The government will play asignificant role in making policies and the objectiveof the policy making is to take advantage of theopportunities while be more effective in neutralizingthe threats. Often it’s the journey, which is moreworthwhile than the destination itself. A new path …but it’s important that the path being followed is thevirtuous one. ❐

References■ Augus P. Sari and Stephen Meyers , page 19, May1999,

“ Clean Development Mechanism : Perspectives fromDeveloping Countries”.

■ Bas Associates Consulting Ltd, Page 1,” Background toClean Development Mechanism”.

■ Page 15, Clean Development Mechanism in Asia andthe Pacific—Issue, challenges and opportunities ST/ESCAP/2292

■ CDM Basics, Pages 1, 3 and 4 “Indian Institute ofSustainable Development”.

■ IGES CDM Project data analysis & forecasting.■ Jennifer Brook, September 17-19, 2007, “ International

Volunteering and Co-operation Climate Change”.■ Liguang Liu, Page 1,9, 21, May 2006, “Clean

Development Mechanism in China : Seeking Synergiesto Achieve Sustainable Development.

■ N B Rao, Pages 1,13,14, “ The New Greenback”.■ NSWAI ENVIS, Seventh Issues 2007.■ Pavan Sukhdev, March 2008,” Global Warming and

India—Creating a New Consciousness”■ Sarah Jeveed, November 2010 “ Clean Development

Mechanism : Kyoto Protocol Hangs In Balance”.■ Soumitra Ghosh and Subrat Kumar Sahu, pages 3,

5,November 2011, “ The Indian Clean DevelopmentMechanism : Subsidizing and Legitimating CarbonPollution”.

■ World Bank, State and Trends of the Carbon Market,June 2011.

■ World Bank, Thompson Reuters Point Carbon,Bloomberg New Energy Finance and EcosystemMarketplace

■ www.wikipedia.org.■ www.rediff.com › India › Business › Business Headline■ “Emission Trading”,2007. http://en.wikipedia.org/

wiki/Emissions Trading.

(contd. from page 261)

“Vision is not enough. It must be combined with venture. It is not enough to stare up the steps, we must step up thestairs.” — Vaclav Havel