Structure formation and interrelation of individual institutions of carbon units market

Plekhanov Russian University of Economics, Stremyanny per., 36, room. 529, 115093 Moscow, Russia

^* Corresponding author: Severina.yn@rea.ru

Abstract

Justification. Climate change affects people's lives and health in different ways. It threatens the basic ingredients of good health and could undermine decades of progress in global health. Greenhouse gas emissions resulting from the extraction and burning of fossil fuels make a major contribution to both climate change and air pollution. Many strategies and individual measures can reduce greenhouse gas emissions and bring significant co-benefits to the environment. One of the tools to solve this problem is the creation of carbon unit markets. Countries around the world are developing carbon markets as a management mechanism to reduce greenhouse gas emissions and mitigate the effects of anthropogenic climate change. The purpose of the study is to study the institutional approaches of the carbon units market. The work is theoretical in nature and is aimed at assessing carbon markets and the interconnection of individual institutional structures to achieve the overall goal of reducing greenhouse gases in the atmosphere. The study determines the study of foreign and domestic experience in the formation of the structure and interrelation of individual institutions of the carbon units market. This article examines the structure and interrelation of individual institutions of the carbon units market. This market consists of a regulated and voluntary market. A regulated carbon market is born out of laws prescribing emission reductions. Governments set maximum emission limits for each company. Conversely, the voluntary carbon market operates without government regulation. These markets are institutions designed to solve the transnational problem of collective action on climate change. They offer countries the opportunity to invest in more cost-effective mitigation options. Due to the growing interest in reducing greenhouse gas emissions, this type of market is rapidly developing the carbon industry. The tools that enterprises can use in these markets are also reflected. These are carbon quotas and carbon offsets.