JPMAM's Hugh Gimber: Getting to grips with carbon credits

Yet as these markets have grown, so have the questions around how they are evolving. It is important to first distinguish between the two main types of carbon markets. Mandatory carbon markets - such as the UK Emission Trading Scheme (ETS) - are created and regulated by public authorities, with a view to guiding emission-intensive sectors in their decarbonisation pathways. Carbon offsets - What role do they have to play in the race to reach net zero? The number of credits available is strictly controlled, incentivising companies that can reduce emissions below a certain threshol...