Carbon emissions trading spreads across the globe

California, RGGI, China and UN offset markets show potential

Emissions market: going global

The 1997 Kyoto Protocol cemented the status of cap-and-trade schemes as an internationally agreed method of cutting emissions of carbon dioxide (CO2) and other greenhouse gases. Since then, the European Union Emissions Trading System (EU ETS) – the world's biggest carbon market by far, which was set up in 2005 – has undergone a rollercoaster ride. At first, the market saw a wide array of industrial emitters, utilities, investment banks and hedge funds all participating in the trading of European