Triangle Aircraft Services - Climate Neutral Strategy

17 International mechanisms for climate protection The principle of compensating Greenhouse Gas (GHG) emissions is one of the flexible mechanisms of the Kyo- to Protocol: The Clean Development Mechanism (CDM) and Joint Implementation (JI). Both mechanisms are es- sential tools for global climate protection. They provide flexibility to industrial countries to achieve their emis- sion reduction targets. While carbon offset projects in developing and transition countries are imple- mented through the CDM, JI projects are situated in industrial countries commit- ted to the Kyoto Protocol. A prerequisite for the implementation of JI projects is that the CO2 savings of these projects are calculated from the respective national greenhouse gas balance in order to avoid double counting. In developing and transition countries, the CDM acts as a driver for the transferofcleantechnologiesandsustainableeco-nomic development. Emission reductions from voluntary carbon offset pro- jects work according to the same concept as the CDM and JI. Each project is verified by independent service providers who regularly review the emission reduc- tions. A project generates emission reduction certifi- cates, known as Verified Emission Reduction (VER), in the amount of these savings. Companies that are not subject to mandatory emissions trading can use these certificates to offset their emissions. The voluntary mar- ket also allows for projects with lower volumes of CO2 savings to gain access to financing through the sale of certificates. In addition to CO2 reductions, most pro- jects make additional contributions to local sustainable development. Clean Development Mechanism and Joint Implementation (CDM/JI) VER – Verified Emission Reduction Criteria for carbon offset projects Carbon offset projects must fulfil internationally recognized criteria and standards and must be certified accordingly. The most important criteria are the following: It must be ensured that the implementation of the pro- ject would not have been possible without the addition- al funding through emissions trading. The project must therefore rely on revenue from the sale of certificates to cover its financing demand. Additionality It must be ensured that the avoided carbon emissions are only credited once (to the certificate owner’s emis- sions). Specifically, this means that emission certificates can only be sold once and must subsequently be re- tired in the corresponding registry. Exclusion of double counting The emission reductions must be secured in the future, for example carbon sequestration in forests must be guaranteed long-term. Afforested land that is re-trans- formed into a pasture through slash-and-burn practic- es after just a few years cannot generate emission cer- tificates as a carbon offset project. Permanence Carbon offset projects must be verified periodically by independent third parties (e.g. TÜV, SGS, DNV) to en- sure that all the above criteria are met. Through the verification, the effectively avoided carbon emissions are determined retrospectively before the emission certificates can be traded. Regular verification by independent third parties